Regional Relief and Recovery Fund (RRRF) Expansion

Regional Relief and Recovery Fund (RRRF) Expansion Closed

Loans Up to $20,000

Regional Relief and Recovery Fund (RRRF) Expansion

The Government of Canada and Community Futures organizations (CFs) understand the difficulties the COVID-19 pandemic has caused the small business community throughout the West. As a result, the Government of Canada has made funds available to the CFs to provide support and assistance to Small and Medium-Sized Enterprises (SMEs) located in non-metropolitan regions (all areas served by Community Futures organizations) in Western Canada through the rural stream of the Regional Relief and Recovery Fund (RRRF).

Small business owners impacted as a result of the COVID-19 pandemic who received a loan of $40,000 through the Regional Relief and Recovery Fund (RRRF) can apply for an additional loan of up to $20,000 through the RRRF.

The Regional Relief and Recovery Fund provides funding to support businesses that have not been approved for supports through the Canada Emergency Business Account (CEBA) or the Emergency Loan Program delivered through Aboriginal Financial Institutions.

General Details of the Expansion Loan:

  • Applicant must have borrowed the maximum initial loan of $40,000 from the RRRF
  • Maximum loan of $20,000;
  • 0% interest until December 31, 2022;
  • No principal payments until January 2023;
  • Principal repayments can be voluntarily made at any time without penalty;
  • 50% up to a maximum of $10,000 in loan forgiveness is available, provided the outstanding balance is paid back by December 31, 2022;
  • If any part of the balance is not paid by December 31, 2022, the remaining balance will be converted to a term loan effective January 1, 2023; and,
  • The full balance must be repaid no later than December 31, 2025.

Eligible Uses for Loan Funding:

The funds from this loan shall only be used by the Borrower to pay non-deferrable operating expenses of the Borrower including, without limitation, payroll, rent, utilities, insurance, property tax and regularly scheduled debt service, and may not be used to fund any payments or expenses such as prepayment/refinancing of existing indebtedness, payments of dividends, distributions and increases in management compensation. Note that funds from this loan cannot be used to pay expenses already supported through the Canada Emergency Wage Subsidy or the Canada Emergency Commercial Rent Assistance.

Eligibility of Businesses

  • As per Terms and Conditions of the Community Futures Program, SMEs are defined as having less than 500 employees and annual sales revenue of less than $20 million, and produce goods and services for the market economy, regardless of their business structure (e.g. sole proprietorships, social enterprises, cooperatives, etc.); SMEs must attest they have not received duplicative supports through other federal or provincial government COVID-19 support programming such as the Canada Emergency Business Account.
  • The small business must have been viable and not experiencing any liquidity or other financial difficulties as of March 1, 2020.
  • The small business must have experienced a material adverse effect on business operations on or after March 1, 2020 as a result of the COVID-19 pandemic.
  • Business established before March 1, 2020.
  • Be a sole proprietorship, partnership, corporation, or social enterprise.

For more information on the Regional Relief and Recovery Fund (RRRF) or to apply, please click on the link below to start the online application process.

Please note: Once you submit your application, you will receive an email notification that is confirmation we have received your application and are working on your request. Rest assured a CF representative will contact you as soon as possible. Thank you for your cooperation and understanding.