More financial support for mid-size businesses navigating COVID-19 crisis
Intended for businesses with revenues between $50 million to $300 million, the new expanded Business Credit Availability Program is supported by Export Development Canada.
In a bid to help Canadian businesses face the financial challenges brought on by the COVID-19 pandemic, and with support from Export Development Canada (EDC), the federal government is creating the Mid-Market Guarantee and Financing Program available under the Business Credit Availability Program (BCAP).
The expanded program brings liquidity to companies that tend to have revenues of between $50 million to $300 million, to sustain operations during this emergency moment.
“Medium-sized companies represent 16 per cent of employment in Canada and span all sectors. They are essential to the economic well-being of our country,” said Mairead Lavery, president and CEO of EDC. “Not only do they employ millions of dedicated Canadian workers, but they are essential to the livelihood of our industries, supply chains and our communities coast, to coast, to coast.”
With this expanded support, EDC will continue to work with Canadian financial institutions to guarantee 75 per cent of new operating credit and cash-flow loans – ranging in size from $16.75 million to a maximum of $80 million. These expanded guarantees are available to exporters, international investors, and businesses that sell their products or services within Canada.
This support is in addition to measures already included in the BCAP.
Additional details regarding this expanded BCAP Program are being finalized and will be made available in early June. For more information, click on this link.