$30M in additional RRRF funding is available to  southern Ontario SMEs through CFDCs.

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 $1.5 billion nationally, is delivered by Canada’s regional development agencies.

In southern Ontario, $436.4 million is being delivered as follows:

  • $367 million for direct support from FedDev Ontario for SMEs facing financial pressure; and
  • $69.4 million to provide rural businesses with access to capital and technical support, delivered by southern Ontario’s Community Futures Development Corporations.

Funding available through your local CFDC

Business Loans

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.

Loans $40,000 or less:

Repaying 75 percent of the loan amount, or up to $30,000, on or before December 31, 2022, will result in loan forgiveness of 25 percent (up to $10,000).

Loans $40,000 and up to $60,000:

The terms of your forgiveness will be subject to the following thresholds:

  • 25 percent forgiveness on the first $40,000; plus
  • 50 percent forgiveness on amounts above $40,000 and up to $60,000.

To clarify, the portion of forgiveness based on a rate of 25 percent and the portion of forgiveness based on a rate of 50 percent are blended into a single tranche of forgiveness, which is only available if all other amounts outstanding are repaid by December 31, 2022. For example, if $60,000 is received, no forgiveness is available unless $40,000 is repaid.

  • Eligible CFDC applicants must also meet the following criteria:
    • established prior to March 1, 2020;
    • impacted adversely by the COVID-19 pandemic;
    • viable and not experiencing other financial difficulties prior to March 1, 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 for business loans can be submitted for:

  • Loans of up to $60,000 to help address working capital needs.

Next steps:

  • Follow the application process provided by your local CFDC.
  • Contact your local CFDC by telephone or email.
  • Complete the application.

Funding available through FedDev Ontario only

Should you be interested in a loan greater than $60,000 and meet the eligibility criteria, you may wish to apply to FedDev Ontario for direct funding.

If you are a NFP that does not have a revenue stream, you should check your eligibility for a non-repayable loan by contacting FedDev Ontario directly.

For more information, please visit the FedDev Ontario website and consult the Applicant Toolkit.

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.

Eligible applicants must:

  • Be a Canadian or provincially incorporated business, co-operative or an Indigenous-owned business located in southern Ontario with 1 to 499 full-time equivalent employees;
  • Be facing funding pressures with fixed operating costs as a result of COVID-19;
  • Have been a viable business before the COVID-19 pandemic and plan to continue to operate their business or resume operations.
  • Have already applied to other Government of Canada emergency credit relief measures for which they are eligible, as outlined in the program guidelines.

For more information, please visit the FedDev Ontario website and consult the Applicant Toolkit.

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.