CEBA Loan Forgiveness Deadline Approaching
For eligible CEBA loan holders in good standing, repaying the balance of the loan on or before January 18, 2024 will result in loan forgiveness of up to 33 % (up to $20,000).
As of December 4, 2020 the maximum CEBA loan amount was increased to $60,000. CEBA loan holders who had received the $40,000 CEBA loan, were able to apply for the CEBA expansion, which offered eligible businesses an additional $20,000 of financing.
All Application Outcomes: Are Now Final
As of September 14, 2023 the repayment deadline for eligible CEBA loan holders to qualify for partial loan forgiveness was extended to January 18, 2024. Additionally, CEBA loan holders that submit a refinancing loan application by January 18, 2024 but require a grace period in order to finalize the payout of their CEBA loan can still qualify for partial forgiveness if the outstanding principal of their CEBA loan, other than the amount of potential debt forgiveness, plus any applicable interest is repaid by March 28, 2024. Accessing the equity in your home is a great way to support your business and ensure you keep as much money as possible in your pocket. The government loans served a purpose that assisted business owners when they needed it most-utilize those monies as best you can.
If businesses repay the loans by January 18, 2024, they can receive loan forgiveness on up to a third of the amount they borrowed, but if they don’t they must repay the full amount and will face 5% interest on their remaining balance. There could be mortgage options available to help you pay the balance and be excused from full repayment.
“There is near panic on the part of close to half of Canada’s small businesses about the looming deadline that is approaching for CEBA loans”
Dan Kelly, President and CEO of the Canadian Federation of Independent Business
Locally owned and operated since 1985.
“The name friends recommend”