by Leanne Czerwinski, posted on 2:39 PM, January 26, 2021
January 26, 2021
The Federal Government has released the details of the Highly Affected Sectors Credit Availability Program (HASCAP), which was previously announced in the Fall Economic Update.
The program will be providing further financial support for our industry. The support program will be available via your primary lender on February 1st. These will be 100% government-backed loans and they will provide $25,000 to $1 Million per legal entity, up to a maximum of $6.25 Million for related entities, to be used for operational cash flow. The HASCAP application process will remain open until June 30th, 2021.
To help ensure you are ready to apply and to make the HASCAP Guarantee loan request process faster with your primary financial institution, you can confirm:
- If your business has received the Canada Emergency Wage Subsidy (CEWS) or the Canadian Emergency Rent Subsidy (CERS) when you apply, make sure you have your Canada Revenue Agency attestation forms demonstrating a minimum 50% revenue decline, for at least 3 months, within the 8-months before the date of your HASCAP Guarantee applications. Your financial institution will require this information to process your request.
- If your business did not receive CEWS or CERS and is eligible for it, you must apply for CEWS and/or CERS. Your financial institution will require this information to process your request.
- If your business does not qualify for CEWS and CERS you must provide financial statements that reflect at least three months (which do not need to be consecutive) of monthly year-over-year revenue decrease of a minimum of 50% per month, within the 8-month period prior to the date of the HASCAP Guarantee application. Your financial institution will require this information to process your request.
"TIAC welcomes today's announcement by the Honourable Mary Ng, Minister of Small Business, Export Promotion and International Trade, regarding the launch of HASCAP and is pleased to see that government has heard our concerns. We look forward to continuing our work together with the government on further tailored support to meet the needs Tourism sector," states Vince Accardi, Acting CEO and VP of Stakeholder Relations.