The federal government announced changes to the Canada Small Business Financing Program Thursday that will change terms for real property loans to allow small businesses access to $1 million over 15 years.
(left to right) Invest Ottawa manager of entrepreneurial services Peter Stewart, federal Small Business and Tourism Minister Bardish Chagger, Invest Ottawa board member Susan Richards, and Ottawa Chamber of Commerce chair Michael Crockatt.
The government says this will reduce cash-flow pressures on small businesses by ensuring they are not faced with challenging repayment terms.
‚ÄúBy providing more flexible loan repayment schedules for small business borrowers, the government is committed to supporting the growth and success of small businesses in Canada," Small Business and Tourism Minister Bardish Chagger said in a statement. "The changes announced today will help borrowers have access to funds over a longer period of time and achieve greater success, which will benefit the Canadian economy."
Ms. Chagger made the announcement during remarks to entrepreneurs and small business owners gathered at Invest Ottawa‚Äôs headquarters.
Invest Ottawa CEO Bruce Lazenby said he was pleased with Thursday‚Äôs announcement.
‚ÄúOn an annual basis, Invest Ottawa engages with more than 5,000 entrepreneurs through one-on-one consultations, workshops and seminars. Financing is always a top priority for them,‚ÄĚ he said in a statement.
The Canada Small Business Financing Program has, on average, helped entrepreneurs access more than $900 million in financing annually over the last 10 years.
It helps small businesses secure loans from private sector lenders-loans that would not otherwise be available to them.