Our business would not be where it is today without the support of our community. It is thanks to them - the entrepreneurs who run the businesses listed on FrontFundr, and the investors who back them - that we’ve been able to grow over the last 5 years into Canada’s leading online investment platform.
The last few weeks have created a situation that no one could have foreseen, and as a result a new reality we are all learning to adapt to. It is at times like these that we need to support each other in any way we can, and so I wanted to update you on the latest Covid-19 government support programs, how FrontFundr is supporting these, and what we’re doing to help our own community.
UPDATE: On March 27th the Prime Minister announced an increase to the wage subsidy, boosting it from 10% to 75%, and a special emergency business account for small businesses, offering $40,000 government-guaranteed loans.
Government support programs
Yesterday, the federal government passed Canada’s Covid-19 Economic Response Plan, an emergency stimulus package to support individuals, families and businesses facing financial hardship as a result of COVID-19.
Support measures for businesses that are available now include:
- Credit facilities by BDC and EDC. On March 18th, BDC announced Covid-19 working capital loans of up to $ 2 million, effective immediately.
- Wage subsidy of 10% for 90 days. A number of business groups called on the government to increase the wage subsidy in line with the U.K. and Denmark, 70 to 80%. The Canadian government is expected to make further announcements in the coming days. (Update: On Friday 27th March the Prime Minister announced a major increase to the wage subsidy for small- and medium-sized businesses, increasing it to 75 per cent)
- A work-sharing program that helps businesses avoid layoffs due to the temporary reduction in the normal level of business. Read more here on eligibility and how to apply.
I encourage you to follow the news closely, day by day, as further announcements are made by the Federal Government, BDC, EDC and other groups as well.
Emergency fundraising campaigns
We will fast-track the campaign approval process for any of our portfolio companies who need to raise growth or bridge capital during this time. We will also work as quickly as we can with first-time companies seeking an urgent fundraising solution.
Online office hours
We've set up themed office hours for entrepreneurs and investors in our community. This allows you to speak directly with members of the FrontFundr team, and discuss any questions or concerns you have about fundraising and the investment process. There are currently three different types of office hours available:
- Investing during COVID-19 - For questions about the investment process, investing in new campaigns or an existing portfolio, and how the current situation has impacted these.
- Capital raising during COVID-19 - For questions about fundraising in the current climate or anyone considering launching a new campaign.
- Running a campaign during COVID-19 -For any questions you have about launching and running a campaign, or general marketing.
Updates on information and resources
Over the next few weeks we will be hosting a series of webinars, and creating a series of content, looking to address the specific challenges that this situation poses for entrepreneurs and investors in our industry. We will update you about these via email, and you can also check our social media for all the latest information.
We will continue to keep you informed and updated on all the latest developments, and to offer our assistance in any way we can.