COVID relief: Access to flexible, low-interest loans for the hardest-hit Canadian businesses
The Highly Affected Sectors Credit Availability Program (HASCAP) helps hard-hit small businesses—those whose revenues have decreased by 50% or more due to COVID-19—with low-interest loans over an extended term to help manage business continuity expenses.
ATB partnership with BDC to offer the HASCAP Relief Program
Low-interest loans up to $1 million
HASCAP provides liquidity support for qualifying Canadian businesses with a non-revolving government guaranteed term loan of $25,000 to $1 million CAD.
Flexible and competitive terms
ATB business banking customers can benefit from a low interest rate loan with up to 10 years to repay.
BDC HASCAP product features
|Amount||Term loans ranging from $25,000 to $1 million CAD for each legal entity you own, up to a maximum combined amount of $6.25 million (all legal entities combined). Maximum loan amount for each legal entity is dependent on business size.|
|Interest Rate||fixed: 4%|
|Term||Amortization up to 10 years|
|Repayment||No principal repayments for 12 months from the date of loan advance|
Frequently Asked Questions
To qualify, ATB business customers will need to meet the following requirements:
- Be a Canadian business in operation as of March 1, 2020 impacted by COVID-19
- Be an existing ATB business customer and ATB is your primary bank or primary lender
- Be a financially stable and viable business as of March 1, 2020 (prior to any COVID-19 impact)
- Fall into one of the following categories:
- Customer must have experienced a 50% revenue loss during at least three (3) months of the past eight (8) months evidenced through an application & receipt of either the Canada Emergency Subsidy (CEWS) or the Canada Emergency Rent Subsidy (CERS)
- Customers that are eligible for CEWS and/or CERS MUST have applied to these relief programs BEFORE applying for HASCAP.
- Customers that do not qualify for CEWS or CERS must show a 50% revenue loss during at least three (3) months in the last eight (8) months evidenced through their financial statements.
- Meet the necessary requirements that form part of the application process
- Loans under this program are intended to exclusively fund the operational cash flow needs of the Business or any of its operating subsidiaries (payroll, rent, utilities, taxes, scheduled debt repayments and other fixed costs) including any costs incurred to ensure continued viability.
Your business will be required to provide the CEWS or CERS attestation forms demonstrating required revenue decline (and proof of payment under the Program via bank statements or cancelled cheques) during the application process.
This HASCAP program is available until June 30, 2021.
This program is available to Canadian businesses from all sectors that meet the HASCAP Guarantee eligibility criteria.
The HASCAP is intended to help with short-term liquidity and working capital needs (e.g., recurring operating expenses, buying inventory, meeting accounts payable, covering delayed receivables or other needs due to cyclical cash flow).
It is not intended for debt repayment (outside of normal monthly payments) or refinancing.
BDC is Canada’s bank for entrepreneurs. Given this unique purpose, the Government of Canada has mandated BDC to partner with financial institutes to offer the HASCAP Guarantee to qualifying businesses impacted by the current pandemic through financial institutions.