Canada’s COVID-19 Economic Response Plan – Support for Business

From the March 18, 2020 announcement, the Government of Canada has committed to a number of resources for businesses:

Temporary wage subsidy for small employers

The subsidy will be equal to 10% of remuneration paid during this 3 months period, up to a maximum subsidy of $1,375 per employee and $25,000 per employer.

Tax payment flexibility

The Canada Revenue Agency will allow all businesses to defer, until after August 31, 2020, the payment of any income tax amounts that become owing on or after today and before September 2020.

Access to credit

The Business Credit Availability Program (BCAP) will allow the Business Development Bank of Canada (BDC) and Export Development Canada (EDC) to provide more than $10 billion of additional support, largely targeted to small and medium-sized businesses.

Export Development Canada – Canada Account

The Canada Account is administered by Export Development Canada (EDC) and is used by the government to support exporters when deemed to be in the national interest. This will allow the government to provide additional support to Canadian companies through loans, guarantees or insurance policies during these challenging times.

Was this article helpful?

Related Articles

4 responses to “Canada’s COVID-19 Economic Response Plan – Support for Business”

  1. Abdo says:

    I’m the owner of an auto repair shop ( mechanic shop), yes we not ordered to close yet but just open the doors without any work at all, so my question, is there any financial support from Alberta government or Federal government at least to pay rent and utilities.
    Thanks a lot.

    • Sam Jenkins says:

      No, there aren’t any financial supports from the Alberta Government, and at the moment, the only financial supports from the Government of Canada will be to support wages, not to cover costs. In terms of your utilities, most utility companies are allowing commercial clients to defer utility payments for 90 days. As for your rent, your landlord would be the best person to contact to discuss alternative terms.


    I acquired this restaurant in mid December, 2019. I was to open it in Mid March after renovation. It never opened and will remain closed for an indefinite period till COVID -19 flattens out. Since we are forced to close, will any level of government help me with $10,000.00 / rent month?

    • Sam Jenkins says:

      Unfortunately, the only available program to-date would be the Canada Emergency Business Account, which will require a minimum of $50,000 to a maximum of $1m paid in payroll within the 2019 year. For utilities and rent, speaking with your landlord and utility provider would be a place to start.