On February 1, 2022, the Minister of Economy and Innovation and Minister responsible for Regional Economic Development, Mr. Pierre Fitzgibbon, confirmed that restaurateurs will continue to be eligible for the Aide aux entreprises en régions en alerte maximale (AERAM) program, notably through a loan forgiveness under the Programme d’aide d’urgence aux petites et moyenne entreprises (PAUPME).

Eligibility Criteria

• Be subject to a closure order in the context of the COVID-19 pandemic; and
• Have ceased operations, in accordance with a ministerial order, for a period of at least 7 days during the same month.

Eligible Expenses – Not Claimed Under Any Other Government Program

• Municipal and school taxes
• Rent
• Interest paid on a mortgage
• Utility costs (electricity and gas)
• Insurance
• Telecommunication fees
• Licenses and association fees

Amount of Assistance Provided

• For loans made under the UPEAP after December 20, 2021:
  • 100.0% of eligible costs up to $15,000 per month of closing not to exceed 80.0% of the PAUPME loan
  • Moratorium on repayment of principal and interest extended to March 31, 2022

Application Deadline

• Applications will need to be received no later than four weeks after the resumption of operations covered by a closure order.

The announcement also includes 2 additional provisions:

Additional Assistance For Restaurant Food Losses (Perishables)

• For the cost of unused perishable items, excluding alcoholic products
• Eligible costs must have been incurred between December 15 and 30, 2021
• Loan forgiveness of a maximum amount of $10,000 per establishment

Bonus For the Resumption of Activities

• For businesses closed for less than 90 days:
  • Aims at fixed costs disbursed the month following the reopening of the affected business
  • $15,000 per establishment
• For businesses closed between 91 and 180 days:
  • Targets fixed costs disbursed the two months following the reopening of the subject business
  • $30,000 per establishment
• For businesses closed for more than 180 days:
  • Targets fixed costs disbursed the three months following the reopening of the subject business
  • $45,000 per establishment

We’re Here to Help

Do you have any questions about the above-mentioned or any other COVID-19 government support-related programs? We have put together a special COVID-19 Crisis Relief Program. Please do not hesitate to contact one of our team members.