TORONTO, April 19, 2020 /CNW/ - Starting tomorrow, BMO business clients can apply for financial relief measures offered jointly with Export Development Canada (EDC), as part of the Government of Canada's Business Credit Availability Program. To apply for the EDC relief program, business clients must reach out to their BMO Relationship Manager.
"We have been working closely with our business clients to help them through this period of economic hardship, offering advice and tailored support to address their need for liquidity and relief," said Christine Cooper, Co-Head, Canadian Commercial Banking, BMO Financial Group. "In working with EDC to launch this new program, we can offer additional relief measures to help impacted businesses access capital quickly and efficiently. We remain committed to our customers and will continue to stand by them," said Nadim Hirji, Co-Head, Canadian Commercial Banking, BMO Financial Group.
The EDC program offers eligible businesses new operating lines of credit or term loans of up to $6.25 million, with 80% guaranteed by EDC. Repayment schedules will be determined on a case-by-case basis. Business clients are encouraged to reach out to their BMO Relationship Manager to understand how this and other relief measures may help their business.
"The EDC relief program complements the existing relief measures that we have introduced in support of Canadian businesses and will help them obtain needed financing during this period of uncertainty," said Andrew Irvine, Head, Canadian Business Banking, BMO Financial Group.
In addition to the EDC program, BMO continues to work with both government and industry to bring to market the Business Development Bank of Canada (BDC) Business Credit Availability Program (BCAP) to further support business clients. BMO anticipates announcing the availability of the BDC BCAP shortly.
BMO's support for business clients
The EDC relief program expands on previous financial assistance announced by BMO in support of Canadian businesses. Additional relief measures include:
- Deferral of payment on small business credit cards and credit lines
- Payment deferral on the principal of a small business loan
- Increases on small business operating lines to help with short-term working capital. For clients requesting an increase on an operating line, BMO may advance payroll to help ensure consistency with employee pay
- Tailored relief programs for other businesses, which may include payment deferrals on loans, lines of credit and access to additional working capital
- One-on-one advice on business plans and options to overcome any liquidity concerns, for medium-sized businesses
The Canada Emergency Business Account is also available for businesses with annual payroll between $20,000 and $1.5 million and provides interest-free loans of up to $40,000. Full criteria for eligible businesses, as well as the application to apply, can be found on BMO's secure site.
Commercial banking clients can stay updated with BMO on COVID-19 and find the latest insights from experts on the bank's commercial relief page.
Business banking clients are encouraged to visit BMO's dedicated COVID-19 small business support page for regular updates and to learn more about relief measures.
About BMO Financial Group
Serving customers for 200 years and counting, BMO is a highly diversified financial services provider - the 8th largest bank, by assets, in North America. With total assets of $880 billion as of January 31, 2020, and a team of diverse and highly engaged employees, BMO provides a broad range of personal and commercial banking, wealth management and investment banking products and services to more than 12 million customers and conducts business through three operating groups: Personal and Commercial Banking, BMO Wealth Management and BMO Capital Markets.
SOURCE BMO Financial Group