The Royal Bank of Canada has recently made an agreement with Canada Emergency Business Account (CEBA) to help small businesses affected by the COVID-19 pandemic. This agreement will allow business owners who have already received the CEBA loan to have the option of increasing their loan amount.
The CEBA was launched by the Canadian government to help small businesses that were struggling due to the pandemic. This program provided eligible businesses with interest-free loans of up to $40,000. The loan was intended to help these businesses cover their expenses, such as rent and utilities, and to keep their employees on payroll.
Now, thanks to the agreement between the Royal Bank of Canada and CEBA, businesses that have already received the loan will be able to increase their loan amount by an additional $20,000. This means that businesses can now receive a total of $60,000 in interest-free loans.
To be eligible for this additional loan amount, businesses must have already received the $40,000 CEBA loan and have a Canadian business bank account with the Royal Bank of Canada. Additionally, they must meet certain criteria, such as demonstrating that they have experienced a revenue decline of at least 50% due to the pandemic.
The process of applying for the additional loan amount is relatively straightforward. Business owners can access the application through the Royal Bank of Canada`s website or through their online banking portal. The application requires businesses to provide some basic information, such as their name and business number. They will also need to provide some financial information, such as their revenue and expenses.
Once the application is submitted, it will be reviewed by the Royal Bank of Canada, and businesses can expect to receive a decision within a few days. If approved, the additional loan amount will be added to the business`s existing CEBA loan.
Overall, this agreement between the Royal Bank of Canada and CEBA provides much-needed relief for small businesses struggling due to the pandemic. It allows eligible business owners to access additional funds to help them cover their expenses and keep their businesses afloat during these difficult times. If you are a business owner who has already received the CEBA loan, it may be worth considering applying for the additional loan amount through the Royal Bank of Canada.