Emergency Working Capital Financing

A financing program has been developed to provide emergency working capital financing to assist PEI’s small business during this unprecedented economic disruption to business, caused by the Covid-19 pandemic. This new loan program is to assist qualifying companies maintain normal business operations during these difficult times. 

Eligible applicants can apply to receive a working capital loan of up to $100,000 with a fixed interest rate of 4% per annum to be used to assist with fixed operating costs (including payroll, rent, utilities etc) with principal & interest payments deferred for a minimum of 12 months. 

Applications for this program will be accepted up to April 30, 2022.

How do I qualify? 

For an applicant to be eligible for assistance, the following criteria must be met:

  • Existing small businesses (startups not eligible) located and operating in the Province of PEI, and have been generating revenue on PEI 
  • Registered to conduct business within the Province of PEI
  • The applicant has a satisfactory credit rating and must not have any defaulted outstanding debt obligation on file in the Province’s Central Default Registry

What are the details of the loan? 

  • Up to a maximum of $100,000 per company
  • The loans will bear interest at fixed rate of 4% per annum, commencing at first disbursement and accruing during the term of the loan. 
  • Repayment of this loan will commence 12 months after the first disbursement, with the balance outstanding to be repaid over the remaining 5 year period (for a total term of 6 years). 
  • Loans are secured by:
    • Promissory Note for the full amount of the loan
    • Personal guarantees of the business owner(s)
    • General Security Agreement
  • No application fee 

How do I apply? 

Small businesses on PEI will be required to submit an application and supporting documentation to Finance PEI, including:

Successful applicants will be issued a Letter of Offer outlining the complete terms and conditions of the loan.
Ongoing financial reporting will be required

How is the loan disbursed? 

Loan proceeds will be disbursed on an as needed basis for clients, through multiple advances with supporting documentation. 

Who can I contact for more information? 

Direct any inquiries and submit your application with supporting documentation by email to:


The Small Business Loan Program is administered by Finance PEI. Staff will contact you directly upon receipt.