Canadian FAQ #328 – What is A: Apply?

0
402

Tax Question:
What does “A-Apply” in the acronym ADAPT mean and what does it stand for?

Facts:
“A-Apply for funding and other help” is the first immediate step for survival. For a business in Canada, there are five major programs that can help your small business cash flow to survive. There are other programs which we will cover in other FAQs.

Discussion:
The five programs we have identified as providing the most help to small businesses in Canada are:

1) Canada Emergency Wage Subsidy
This will cover 75% of your payroll costs. The criteria are stringent and most importantly require that revenues have dropped in your business. Details change frequently. These are the links to the most current information:

2) Temporary Wage Subsidy
This covers 10% of your payroll costs. It cannot be combined with the 75% program, but it is available to a different group of businesses. Thus, if you cannot get the 75%, you might get the 10%.

3) Canada Emergency Business Account
This is a loan supported by the government of Canada for $40,000 that includes zero interest and a forgivable amount of $10,000 at the
end.

4) Work Share EI Program
This program allows you to lay off all the people half the time instead of half the people all the time. What that means is you can keep more people employed and spread the burden of lower paycheques around the employees.

5) Business Credit Availability Program
This program makes credit more available and supports programs like payment deferrals by the banks.

Grant Gilmour, B.Sc (Hons.), MBA, CPA, CA, CICA – ITC
Partner, Gilmour Group CPA’s
Email: faqs@gilmour.ca
Disclaimer: The information contained in this article is intended solely to provide general guidance on matters of interest for the personal use of the reader, who accepts full responsibility for its use. While we have made every attempt to ensure the information contained in this article has been obtained from reliable sources and accurately described herein. SW Media Group and Gilmour Group Incorporated is not responsible for any errors or omissions, or for the results obtained from the use of this information. Before taking any action that might affect your personal and business finances, you should consult a qualified professional advisor.