The Regional Relief and Recovery Fund (RRRF) provides liquidity support to businesses and not-for-profit organizations affected by the economic impacts of COVID-19, that are unable to access other federal relief measures, or require additional support. The Fund, valued at more than $2 billion nationally, is delivered by Canada’s regional development agencies. In southern Ontario, $436.4 million is being delivered by FedDev Ontario and the Community Futures Development Corporations (CFDCs).
Funding available through your local CFDC
To date the CFDC of North & Central Hastings and South Algonquin has processed 62 Loans totalling $ 1,294,038.67 maintaining 242.5 jobs.
In order to provide targeted assistance to the small towns and communities they serve, CFDCs are helping a range of businesses, such as retail shops, restaurants, corner stores, and businesses of strategic importance to their communities, with loans up to $60,000. Not-for-profit (NFP) organizations that provide support services to SMEs as well as those engaging in commercial activities will be eligible for liquidity support.
The loans offered will be conditionally non-repayable, as outlined below:
For loans issued totaling $40,000 or less: 25 percent of the loan (not to exceed $10,000) can be forgiven provided the recipient has paid 75 percent of the original loan amount prior to December 31, 2022.
For loans issued totaling more than $40,000 and up to $60,000: If the outstanding balance is paid back in full by December 31, 2022, up to 25 percent of contributions up to $40,000 can be forgiven (to a maximum of $10,000), and up to 50 percent of contributions from $40,000 to $60,000 can be forgiven (to a maximum of $10,000).
Balances not paid back in full by the deadline are fully repayable and must be repaid no later than December 31, 2025.
Eligible CFDC applicants must also meet the following criteria:
- Established prior to March 15, 2020;
- Impacted adversely by the COVID-19 pandemic;
- Viable and not experiencing other financial difficulties prior to March 15, 2020;
- Have attempted to access other federal relief supports and were ineligible, rejected, or require funding for expenses that have not been supported, with priority given to applicants who were ineligible or rejected from other federal relief supports.
Applications can be submitted for:
- Loans of up to $60,000 to provide liquidity support for fixed operating costs to maintain regular operations where revenues or cash flows have been affected by the COVID-19 pandemic.
Next Steps: Contact CFDC to discuss your situation and to obtain a RRRF application
Funding available through FedDev Ontario
Should you be interested in a loan of $60,000 or more and meet the eligibility criteria, you may wish to apply to FedDev Ontario for direct funding.
Please note: Applicants will not receive RRRF assistance from both their local CFDC and FedDev Ontario. Review the program guidelines to see which stream is right for you and contact us if you have any questions before applying.