HASCAP - Highly Affected Sectors Credit Availability Program
HASCAP is a critical resource for businesses in Canada right now, especially restaurants.
This program offers a guaranteed, low-interest loan to small businesses that have been impacted by the Covid-19 pandemic and need access to funds. While we are strong proponents of this resource and know many clients who could benefit from it, it is not a widely known program.
If you haven’t heard of HASCAP, here’s what you need to know:
Loans are through the business’ regular chartered bank
Any business highly affected by Covid can apply — most restaurants would qualify
Loan amounts range from $25K to $1 million. In our experience, most restaurants are getting $250K as that is a break-point for some tougher application qualifications
Loan amounts less than $250K are very easy to qualify for, provided the restaurant was making money pre-Covid
There is a 4% interest rate
No repayments for the first year
10-year repayment term after that
No personal guarantee from the owner — the loan is 100% guaranteed for the bank by the Government of Canada
The applications for this program currently expire on March 31, 2022.
Information contained here is from the best available sources — please get in touch with your bank or visit hascap.ca for the exact program details.