• 24/11/2020

Assistance program for businesses in regions on high alert

2 minutes

Montreal centre-ville

Montreal centre-ville

On October 1, the Quebec government announced an enhancement of the Temporary Concerted Action Program for Businesses (PACTE) and the Emergency Assistance Program for Small and Medium-Sized Businesses (PAUPME) to help businesses targeted by an order. closure in the context of the second wave of COVID-19.

This English translation is for reference purposes only. In the event a difference arises regarding the meaning herein, the regulations shall prevail as the official authoritative version.

Assistance program for businesses in regions on high alert (AERAM)

A new component of these programs, Aid for businesses in regions on maximum alert (AERAM) will allow businesses targeted by the closure measures, following the second wave of the pandemic, to obtain non-refundable assistance to pay their fixed costs.

The PACTE and the PAUPME, put in place at the beginning of the pandemic, continue to be applied but the AERAM is now added, which takes the form of a loan of forgiveness, according to the following criteria:

  • the loan of forgiveness applies to financial assistance granted by these two programs
  • the loan of forgiveness will be equivalent to some fixed costs disbursed for the closing period, in question, namely:
    • municipal and school taxes
    • rent (the portion not covered by another government program)
    • interests paid on mortgages
    • costs related to public services (electricity and gas for example)
    • insurances
    • telecommunication costs
    • permits and associations fees

The loan of forgiveness cannot exceed 80% of the loan amount or $15,000

For reminder :

The Temporary Concerted Action Program for Enterprises (PACTE) supports the working capital of businesses through loans and loan guarantees of at least $50,000 so they can continue their activities.

The Emergency Assistance for Small and Medium Sized Enterprises (PAUPME) program aims to support, through loans and loan guarantees for a maximum of $50,000, the working capital of SMEs so they are able to maintain, consolidate or relaunch their activities.

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