COVID-19 Resources for Businesses

Relief for Business Members

Small business owners are among those hardest hit by COVID-19. We’re here to help you get through this with financial advice, flexibility and assistance in accessing federal relief loans.

The federal government has announced several measures, including the Canada Emergency Business Account (CEBA), a relief loan to help cover operating costs for organizations experiencing temporary revenue reductions.

CEBA is now available through Kootenay Savings.

Qualifying business members can get an interest-free government-guaranteed loan of up to $40,000 to help ease the financial strain incurred as a result of COVID -19.

In order to fast-track your application, click here to apply electroncially through Online Banking.

Here’s what you'll need to apply:

  • Your T4 Summary. This shows your 2019 payroll expense and your CRA Employer account number.
  • Access to Online Banking - make sure you are able to log into your online banking account. If you have not yet signed up for online banking or are having issues logging in, please call our Member Service Centre at 1.800.665.5728, select option 4, then option 2.
  • Review the FAQs in the CEBA tab below to find out if you meet the qualifying criteria.
If online banking isn't an option for you:

  • Send an email to CEBAapplications@kscu.com to indicate interest in applying for CEBA program; or,
  • Call our Member Service Centre at 1.800.665.5728 and select Option 4 to request a representative from Commecial Services contact you.

CEBA - Canada Emergency Business Account

What is the CEBA program?

The Government of Canada recently launched a new Canada Emergency Business Account (CEBA). CEBA provides interest-free loans of up to $40,000 to small businesses and not-for-profits, to help cover their operating costs during this time when their revenues have been temporarily reduced.

Business owners must apply for the Canada Emergency Business Account through their primary financial institution.

What is the qualifying criteria for the CEBA program? Expand/Collapse

To enroll in this program, the following criteria must be met:

  • The business is federally registered in Canadian and was in operation on March 1, 2020
  • The business chequing (operating) account is with Kootenay Savings, and was opened before March 1, 2020 and loans were not in arrears by 90 days or more as of March 1, 2020
  • The business paid between $20,000 and $1.5 million in total payroll in 2019
  • The business has not previously used the CEBA program and will not apply for support under the program at any other financial institution
  • The business acknowledges its intention to continue to operate its business or to resume operations
  • The borrower agrees that the loan funds will be used to pay for operating expenses that cannot be deferred, such as payroll, rent, utilities, insurance, debt payments and property tax 

What are the details of the loan? Expand/Collapse

The $40,000 loan is interest-free and no principle payments are required until December 31, 2022. Repaying the balance of the loan on or before December 31, 2022 will result in loan forgiveness of 25% (up to $10,000).

What are the payment terms? Expand/Collapse

No interest or principal payments are required until December 31, 2022.

On January 1, 2023 – if the business member has not repaid at least 75% of the total loan, the outstanding loan balance will be converted to monthly interest-only payments at a fixed rate of 5.00%. 

No principal payments will be required. Principal payments are open and at the member’s discretion. The outstanding principal balance of all remaining loans under the program, plus any accrued interest, is due and payable in full on December 31, 2025.

How is the loan distributed? Expand/Collapse

The loan will be deposited into your account after it has been approved.

How long will it take for the funds to be deposited to my account? Expand/Collapse

Your application will be reviewed for eligibility and submitted to the Federal Government for funding. This entire process will take up to 5 business days from the date of your application. You will be notified by Kootenay Savings once the funds are deposited into your business account.

What can I use the funds for? Expand/Collapse

Funds must be used to fund working capital needs and may not be held in a savings account or term deposit.

The loan is to be used to fund non-deferrable expenses, including payroll, rent, lease payments, property taxes and other costs that the business incurs in order to remain in operation.

Can I make payments on the loan or pay it off earlier than required? Expand/Collapse

Payments to the loan (in whole or in part) cannot be made until November 1, 2022. 

Further, a business may only apply once for funds under the CEBA program. If the borrower pays the loan down or off early, they are not able to apply for the CEBA program again.

The 0.00% interest period on loans under the CEBA program is available until December 31, 2022 and there are no costs to the member in order to hold the funds until that date.

My business is closed due to COVID-19. Can I still apply? Expand/Collapse

Yes, provided that your business was active and open on March 1, 2020 and plans to reopen. If your business is currently closed, you must plan to reopen as soon as possible with the help of the funds from the CEBA program.

I only need $20,000 at this time. What if I decide at a later date that I need more from the CEBA program? Expand/Collapse

Only one application for the CEBA program is permitted.

I am a sole proprietor and only have a personal chequing account. Can I still apply? Expand/Collapse

No. The Canada Emergency Business Account is only available to business with an open business operating account on March 1, 2020.

The government has announced additional relief measures to support sole proprietors. Further information is available at the Government of Canada's COVID-19 Economic Response Plan site.

I applied for the Kootenay Savings financial relief offerings. Can I also apply for the CEBA program through Kootenay Savings? Expand/Collapse

Yes, provided your business meets the eligibity requirements set out in the CEBA program.

I have multiple businesses. Can I enroll each business for a CEBA loan? Expand/Collapse

Yes, each business entity may enroll for a CEBA loan provided that:

  • They are separate entities and Kootenay Savings (KS) is their primary financial institution.
  • Each business must have an active business account that was opened with KS on, or before March 1, 2020.
  • Each business must meet the eligibility criteria.
  • The businesses must be independent from one another. They must have separate operations, separate sources of revenue and cannot be economically dependent on one another.

KSCU Relief Programs

If you don't qualify for CEBA, we can help.

We're dedicated to working with members to provide flexible solutions through hardships caused by these unusual circumstances including:

  • Payment suspensions and alterations up to 6 months
  • "Quick Loans" - Personal loans up to $10,000 with deferred payments up to 6 months
  • "Quick LOCs" - Business Lines of Credit up to $25,000 with interest only payments

Business members, please call 1.800.665.5728, select option 5 and follow the prompts to speak with a commercial lender. All other members please select option 4 to speak with a Kootenay Savings representative.

Our goal is to provide peace of mind knowing you can continue to support yourself and your family through these difficult times.

Other Support Programs

In addition to the Government’s Canada Emergency Business Account program and Kootenay Savings’ Quick Line of Credit and Payment Suspension programs, there are many other relief programs available to support businesses impacted by COVID-19. 

To view available resources and up-to-date information, please click the links below:

  • COVID-19 Supports for Businesses – BC Government site - for resources and an extensive list of available support programs
  • Support for Business - Government of Canada site - to learn more about available Government support programs and apply (if applicable)