Frontenac CFDC accepting interest free loan applications for up to $40,000

May 20, 2020

The Frontenac Community Futures Development Corporation is a federally funded business development corporation, and they are administering a new loan program called the Regional Relief and Recovery Fund (RRRF).

The RRRF was put in place to address a gap in support for small businesses facing difficulties as the result of the COVID-19 epidemic. In April, the government established the Canadian Emergency Business Account (CEBA) which provides interest free loans of $40,000 to eligible businesses.

The CEBA program required businesses to have a payroll of $50,000 in 2019 initially, but that requirement was lowered to $20,000 a couple of weeks later.

That left a category of mainly family based small businesses with minimal or no payroll, without support.

"With nearly a billion dollars in support across the country, the Regional Relief and Recovery Fund will fill in some of the gaps. Our message to Canadians is clear: we are here for you now; we will be here for you in the weeks and months to come; and we will get through this together. We’ve got your back,” said the Honourable Melanie Joly, Minister of Economic Development and Official Languages and Minister responsible for Federal Economic Development Agency for Southern Ontario.

$39.4 million out of that federal pot is earmarked for Community Futures Development Corporations in Eastern Ontario, and a portion of that money is being administered by the FCFDC.

Anne Prichard, Executive Director of the FCFDC, said this week that an application process for the funding has been developed and is available at frontenaccfdc.com.

“We are attempting to get this rolling as quickly as possible,” she said.

Sole proprietorships, partnerships or corporations located in the County of Frontenac, who were established before March 1, 2020, which have been adversely impacted by COVID-19 but are otherwise viable, and are not eligible for other relief supports, can apply for RRRF loans through the FCFDC.

The program also includes a component with loans of up to $250,000 for corporations which need more support is available directly from the Federal Economic Development Agency out of their Kingston office.

Just as Frontenac CFDC was preparing to launch the RRRF program on Tuesday, the federal government announced expanded eligibility requirements for the Canadian Emergency Business Account (CEBA).

The $20,000 minimum payroll requirement is gone. Businesses now require only a business number and a business account, and must have filed an income tax return for 2018 or 2019.

The CEBA and RRRF provide identical terms. They are loans of up to $40,000, which are interest free until the end of 2022, at which time if they are paid in full there will be a 25% forgivable portion. If not paid in full, 5% interest will apply to the balance from that time forward

“This was a surprise,” said Prichard, when she found out about the CEBA changes. She said that as she is doing the intake for the RRRF, for which there is a limited amount of money allocated, she will encourage business owners who are eligible to apply to CEBA.

“The need for support is there, and the sooner the better for businesses who require this assistance to help them through the next few months,” she said.

For further information about RRRF, check frontenaccfdc.com or email This email address is being protected from spambots. You need JavaScript enabled to view it..

Businesses can apply for CEBA through their online business account at most major banks.