The Grenville Community Futures Development Corporation and the 1000 Islands Community Development Corporation are very pleased to announce that businesses in our service areas may be eligible to benefit from enhanced support funding through the Government of Canada’s Regional Relief and Recovery Fund (RRRF).
In total, an additional $1,960,000 is being invested by the Government of Canada to complement the $2,140,000 announced earlier this year, for a total of $4,100,000 in COVID-19 relief funding for local small businesses and not-for-profits.
Canada’s COVID-19 Economic Response Plan has helped to protect millions of jobs, provide emergency support to families and keep businesses afloat as they contend with the impact of this devastating pandemic. A central component of this strategy is the Regional Relief and Recovery Fund, which helps support those who may not be eligible for other programs or who may require additional relief.
Since RRRF was launched earlier this year, more than a thousand businesses have been assisted, helping them to retain employees, cover operational costs and play a critical role in our economic recovery. Community Futures Development Corporations have provided crucial financial and counselling support for southern Ontario’s rural businesses, helping to maintain 3,500 jobs across the region. Locally, the Grenville CFDC and 1000 Islands CDC combined to fund 58 businesses who maintained 379 jobs.
Commenting on the increased funding, Heather Lawless, Executive Director, Grenville CFDC, said: “With the support of FedDev Ontario and the Government of Canada, we are committed to delivering even more relief funding to the Grenville County business community through the Regional Relief and Recovery Fund. We are here to help businesses that have had their revenues adversely affected by the COVID-19 pandemic.
Support will be offered in the form of interest-free loans in amounts up to $40,000 to address fixed operating costs of businesses who have been negatively impacted by COVID-19. Loans will not be repayable until December 31, 2022 and a portion may be forgivable upon repayment. Priority will be given to sole proprietors, main street businesses (such as retail shops, restaurants, corner stores and social enterprises) as well as businesses of strategic importance.
Businesses that have already received funds from other government programs are also eligible to apply but may not be eligible for the loan forgiveness feature.
Additional information and funding applications are available at www.ticdc.ca and www.grenvillecfdc.com and businesses are strongly encouraged to apply early as funds are limited.
CFDCs deliver a wide variety of programs and services to support community economic development and small business growth. They employ local staff and are each governed by a volunteer board of directors made up of local residents representing the community. Through RRRF, Grenville CFDC provided $995,000 in liquidity support to help 31 local businesses impacted by the pandemic to cover fixed operating costs and maintain 111 jobs. Principal repayments can be made at any time after January 1, 2021, and 25% (not to exceed $10,000) of the loan can be forgiven provided the recipient has paid 75% of the original loan amount prior to December 31. 2022. If the RRRF loan recipient has received a Canada Emergency Business Account (CEBA) loan, the recipient does not have access to the RRRF loan forgiveness feature. Recipients can only receive the benefit of forgiveness from one source of COVID-19 related financial support from the Government of Canada.
If the recipient is unable to repay the loan by December 31, 2022, the loan will be converted to a three-year term loan with 0% interest rate effective January 1, 2023. The full balance must be repaid by no later than December 31, 2025.