Indigenous Business Stabilization Program: Emergency Loan Program (ELP) – COVID-19 Business Relief
Emergency Loan Program
In response to the COVID-19 crisis, Alberta Indian Investment Corporation through assistance provided by the National Aboriginal Capital Corporation Association (NACCA) and the Government of Canada is taking action to ensure that Indigenous business owners impacted by COVID-19 have access to the support they require. The emergency loan program is a component of the Indigenous Business Stabilization program.
The Emergency Loan Program (ELP) is designed as an emergency measure to support small business owners in meeting their immediate operating cash flow needs. These funds are not intended to replace or duplicate government or other bank/lender emergency financing/funds that are available to businesses in Canada.
Maximum assistance is $40,000 comprised of a 75% loan and 25% non-repayable contribution. Loan and contribution are issued
• up to 48 months term;
• interest free;
• no payments in first 12 months;
• loan payments begin in month 13th and are fully amortized over the remainder of the term;
• principle repayments can be made voluntarily at any time after six months of issuance, without fees or penalties.
Eligible costs for this loan can include:
Indigenous owned businesses negatively impacted by COVID-19 can apply for this funding to support their immediate working capital and operational needs. Eligible expenses could include:
• non-deferrable operating expenses including, without limitation, payroll, rent, utilities, insurance, property taxes and regularly scheduled debt service; and
• emergency measures such as health and safety improvements, workplace sanitizing, and procedures to secure the safety of employees and prepare for business opening.
Funds may not be used to fund any payments or expenses such as prepayment /refinancing of existing indebtedness, payments of dividends, distributions and increases in management compensation.
Please attach the following to your Emergency Business Loan application:
1. A completed Application for the Emergency Business Loan;
2. A copy of your 2019 Financial Statements; or tax return; or Notice of Assessment; or proof of income (example: bank statements)
3. A detailed cashflow projection for the period March 15, 2020 to March 31, 2021; A CASH FLOW PROJECTION IS MANDATORY – NO FUNDS WILL BE ADVANCED UNTIL THIS STEP IS COMPLETED
4. Copies of new or existing service contracts, if any; optional
5. Clear copies of your Identification: Driver’s License and confirmation of Indigenous heritage (i.e. Certificate of Indian Status).
For questions please contact your Business Loans Manager at 780-470-3600 or 1-888-308-6789.