Throughout the pandemic many small businesses have been shut down by necessary public health restrictions or deeply limited in what they can do. We need them to get back on their feet. They are the backbone of our economy, our main streets, and our communities.
The economic situation remains uneven and Budget 2021 is making targeted investments in Canada’s small businesses so they can come roaring back, hire workers, innovate, and ensure resilient long-term growth.
To help Canadian businesses, including small and medium-sized businesses, bridge through to recovery, Budget 2021 proposes to extend the Canada Emergency Wage Subsidy, the Canada Emergency Rent Subsidy, and Lockdown Support past June, to give businesses certainty in the months ahead. This will continue to protect millions of jobs and help businesses stay well positioned for a robust recovery. Budget 2021 also introduces the new Canada Recovery Hiring Program to help eligible employers offset a portion of the extra costs they take on as they reopen and increase workers’ wages or hours worked, or hire more people.
To help small businesses and entrepreneurs access the capital they need to recover, innovate, and grow in the long-term, Budget 2021 has a plan to enhance the Canada Small Business Financing Program by increasing annual funding so that it can support thousands more small businesses.
Budget 2021 also has a plan to lower the cost of doing business by reducing credit card transaction fees. Canada’s small and medium-sized businesses incur some of the highest fees in the world. The government will engage with key stakeholders to lower the average overall cost of fees, ensure small businesses pay a price similar to large businesses, and protect consumers’ rewards points.
More and more, business is happening online. To help small businesses adapt, recover, and stay competitive, Budget 2021 introduces the Canada Digital Adoption Program, which will create thousands of jobs for young Canadians and help as many as 160,000 small and medium-sized businesses adopt new digital technologies.