COVID-19 Announcement: New Brunswick

Red background with words Maritimes Government Update and the FBC logo

COVID-19 Announcement: New Brunswick

Last updated April 23, 2020. We will update blog posts when more information is released.

The province has announced new programs for business owners experiencing economic hardship because of COVID-19.

NEW BRUNSWICK

Deferring Interest and Principal Payments on Existing Loans

On a case-by-case basis, the Government of New Brunswick will defer loan and interest repayments for up to six months on existing provincial loans. This support will enable businesses to have immediate relief if they are experiencing difficulties as a result of COVID-19. The deferral can be requested by contacting the department that issued the loan.

Waiving Late Penalties on Property Taxes

Though business property taxes must be paid by May 31, late penalties will be reviewed on a case-by-case basis to see if the penalty can be waived due to undue financial challenges, such as having to close a business due to COVID-19.

Working Capital for Small Business

Small business owners impacted by the COVID-19 pandemic can apply for working capital loans up to $100,000 through the NB Small Business Emergency Working Capital Program.

The loans are funded by Government of New Brunswick and administered by the Community Business Development Corporation (CBDC).

Is My Business Eligible?

To apply for the loan, your business must be a corporation, proprietorship, partnership or joint venture or First Nation enterprise, and have:

  • 1 to 49 employees
  • Sales for the most recent fiscal year of less than $10 million
  • Have experienced adverse effects on or after March 15, 2020, as a result of the COVID-19 pandemic and have a plan to remain viable after the pandemic
  • Be registered with Service NB and have its primary place of operations in New Brunswick.
  • Have been in good standing and current with their financial institutions, and government remittances prior to the COVID-19 crisis
  • No prior history of bankruptcy or default
  • Explored options with their financial institution and federal support programs

Businesses will not be required to pay interest for the first six months.

Full eligibility details, and the application, are available online.

Working Capital for Mid-Large Sized Companies

Opportunities New Brunswick (ONB) is offering working capital loans to small, medium and large employers. You can apply for more than $100,000, up to $1 million.

Companies considering a loan request should first:

  • Speak to their Financial Institution regarding options
  • Look for federal programs and
  • Put cash flow projections together for 6 months to assess working capital needs

Does My Business Qualify?

Your company must be New Brunswick-based and have been in business for at least 24 months, and have financial statements to support the viability of the business before the COVID-19 crisis.

Companies (proprietorships, partners or corporations) with no employees are not eligible.

Clients must have been in good standing and current with their financial institutions, and government remittances prior to the COVID-19 pandemic, and have no prior history of bankruptcy or default.

Publicly traded companies are not eligible.

Approvals will be based on the existing ONB approval process and policies on assessment of viability going forward and ability to repay the loan.

How Do I Apply?

Existing ONB customers should contact their Business Development Executive or email [email protected], or call the Business Navigator line, at 1-833-799-7966.


People have also enjoyed other articles related to these topics:

Tags:  
  1. government updates