HASCAP loan: TD Bank is one of the banks / financial institutions selected by the Government of Canada and the BDC to provide flexible, low-interest term loans to businesses deemed highly affected by the prolonged Covid-19 pandemic.
This program is currently available at TD bank to small-to-medium-sized Canadian businesses in the tourism and hospitality sector whose primary financial institution is TD.
As of February 25th, TD Bank is continuing to accept applicants for the HASCAP loan program, reiterating their… “support to Canadian businesses that have been highly affected by and are facing economic hardship as a result of the COVID-19 pandemic” (TD Bank, Newswire).
Learn more about the program details and how to access it via TD bank below.
Program Details from TD Bank
To access the HASCAP Guarantee program you will likely have to contact your TD Small Business Banking Representative via their appointment booking form, available here.
In addition to contacting your representative, you will have to meet the eligibility criteria for the Highly Affected Sector Credit Availability Guarantee Program
Loan Terms and Details
- A low-interest fixed rate of 4% yearly; paid monthly.
- A flexible business term loan between $25,000 and $1 million
- Ability to postpone principal repayments for the first 12 months
- Maximum term and amortization of up to 10 years.
- The amounts provided to businesses will be determined on a case-by-case basis based on a range of factors relating to your business’s operations, performance, and needs.
- Your primary financial institution/bank is TD
- You are a Canadian business that has been directly impacted by the Covid-19 pandemic
- You have experienced a minimum revenue decline of 50% in 3 months during an 8 month period. And have applied to either the Canada Emergency Wage Subsidy (CEWS) or Canada Emergency Rent Subsidy (CERS)
- If your business has now applied for CEWS or CERS you must apply for these programs first.
- If your business is not eligible for CEWS or CERS you must provide proof of the aforementioned eligibility requirement (i.e. 50% revenue decline in 3 months within an 8 month period).
- The program and the funding it provides to recipients is to be used for day-to-day operational cash flow needs. It is not to be used by businesses to pay off existing debt that was outstanding prior to the start of Covid-19.
Other emergency financing offered by TD
- Canada Emergency Wage Subsidy (CEWS)
- The Canada Recovery Benefit
- Canada Emergency Business Account (CEBA)
- Access up to $60,000 via the CEBA program, interest-free until December 31, 2022
- EDC Business Credit Availability Program (BCAP)
- TD works with Export Development Canada (EDC) to provide larger businesses with capital under the Business Credit Availability Program (BCAP). In part to help businesses sustain their operations during Covid-19. This includes the provision of credit lines up to $80 million, with at least 75% of the financing being guaranteed via the EDC
Not eligible for HASCAP and need additional financing?
If you are not eligible for cash flow financing via the programs provided to your business by The Government of Canada and BDC, then you may want to consider other sources of small business funding.
We suggest checking out Lending Loop, for affordable small business loans with flexible repayment terms and low-interest rates.