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Canada Emergency Business Account (CEBA)

Update: August 31, 2020

CEBA has been extended to October 31, 2020, making the program accessible longer to Canadians. If you have already applied for a CEBA loan and have questions, please contact the new CEBA Call Centre at 1-888-324-4201 for a status of your application. The Call Centre is open Monday to Friday from 8:00 am to 9:00 pm EST. 

FAQ: Is there a deadline for completing an application at my primary financial institution and for uploading supporting documents?

  • You must complete the CEBA application at your primary financial institution by latest October 31st, 2020.
  • After completing the application with your financial institution, you must upload supporting documentation.
  • It is recommended that you provide your supporting documents through the site as soon as you are directed to do so by your financial institution.
  • Supporting documentation is a critical part of the application processes and delays in providing this information can result in a delay in the pre-funding eligibility validation and funding process.

With the Canada Emergency Business Account, you can apply for a Government of Canada interest-free loan of up to $40,000 to help cover operating costs if your revenues have been temporarily reduced.

CEBA loan through Motor City Community Credit Union details:

  • A $40,000 interest-free (until December 31, 2022), government guaranteed loan to help pay for operating costs that are unable to be deferred as a result of COVID-19.
  • $10,000 of the $40,000 loan (25% of original principal amount) is eligible for complete forgiveness if $30,000 is fully repaid on or before December 31, 2022.
  • If the loan is not repaid by December 31, 2022, it will be converted into a 3‑year term bearing an interest rate of 5% per annum.
  • Outstanding principal of the loan must be fully repaid by December 31, 2025.
  • If a default occurs in any scheduled payment under this agreement, at its option, the lender may demand payment of all unpaid amounts due, including without limitation all principal and interest. Events of default include:
  1. default in paying any amount due hereunder.
  2. default in paying any other loan outstanding.
  3. you fail to comply with any of the provisions of this Agreement.
  4. you make any false or misleading representation, including without limitation, in your application for the Loan or the information you have certified.
  5. you commit an act of bankruptcy or become insolvent, or
  6. a receiver is appointed for your business or any part of your property.

Eligibility Requirements

Our application process is meant to be simple and easy. The borrower will complete several attestation questions required through the program by the Government of Canada. Here are some of the main eligibility requirements and the information you need to have on hand to apply: 

  • Your business has a 15-digit Canada Revenue Agency Number, which must be provided to the Credit Union and your business paid between $20,000 to $1.5 million in total payroll according to your organization's 2019 T4 Summary of Remuneration Paid (T4SUM). If you cannot locate your T4SUM, please contact the Canada Revenue Agency or your payroll provider. This form must be provided to MCCCU as part of your application process
  • For applicants with $20,000 CAD or less in total employment income paid in the 2019 calendar year:
    • The Borrower has a Canada Revenue Agency business number and has filed a 2018 or 2019 tax return.
    • The Borrower has eligible non-deferrable expenses between $40,000 and $1,500,000 CAD. Eligible non-deferrable expenses could include costs such as rent, property taxes, utilities, and insurance. Expenses will be subject to verification and audit by the Government of Canada.
  • You agree to use funds from this loan to pay for operating costs that cannot be deferred, such as payroll, rent, utilities, insurance, and property tax.
  • You are not applying for this loan at any other financial institution.
  • Your primary business account operation is with MCCCU (Since prior to March 1, 2020).

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