Hello,
We recognize that the COVID-19 Virus is creating unprecedented challenging circumstances for everybody. We want you to know that our first priority is the health and safety of our entrepreneurs, partners and employees. We are here with you during these difficult and challenging times.
We are also aware that our shared work space program with all its benefits and flexibility provides essential support to a lot of small to medium size businesses that are able to operate and grow within its ecosystem. Therefore, it is now more important than ever that we keep the program running and continue to offer flexible lease term options to those businesses which stimulate our local economy and continue to prove that Canadian resilience is unwavering.
Nonetheless some of our current entrepreneurs may be facing difficulty keeping up with their current lease payments and managing their overhead business expenses. In order to provide further support to our current entrepreneurs during these unprecedented economic times, we are presenting the following measures:
1. Canada Emergency Business Account (CEBA), which was announced by the Government of Canada on March 27.
What is it?
• It’s a $40,000 government‑guaranteed loan to help eligible businesses pay for operating expenses, payroll and other non‑deferrable expenses.
• Until December 31, 2020, the Canada Emergency Business Account will be funded as a revolving line of credit for $40,000.
• After December 31, 2020, any outstanding balance on the revolving $40,000 line of credit will be converted into a non‑revolving 5‑year term loan maturing on December 31, 2025, at which time the balance must be paid in full.
• No interest applies until January 1, 2023.
• Commencing on January 1, 2023, interest accrues on the balance of the term loan at the rate of 5% per annum, payable monthly on the last day of each month.
• If you pay 75% of the balance of the term loan (as at January 1, 2021), on or before December 31, 2022, the remaining balance of your term loan will be forgiven. For example, if your balance is $40,000 on January 1, 2021 and you repay $30,000 on or before December 31, 2022, the remaining $10,000 will be forgiven.
• If you do not repay 75% of the balance of the term loan (as of January 1, 2021) on or before December 31, 2022, the full loan balance and all accrued and unpaid interest will be due and payable on December 31, 2025.
The Canada Emergency Business Account (CEBA) will be available through all major Canadian banks (RBC , CIBC , BMO, Scotia Bank and TD Canada Trust). You can apply for the CEBA starting the week of April 6th 2020. These funds can be utilized to pay operating expenses, payroll and other non‑deferrable expenses.
2. Deferral of Sales Tax Remittance and Customs Duty Payments
The Government of Canada is deferring all Goods and Services Tax/Harmonized Sales Tax (GST/HST) remittances and customs duty payments to June 30, 2020. This deferral keeps more of your operating capital in your hands helping you allocate the funds to more pressing business expenses.
3. WorkSpace Rent Deferral Program (RDP)
Furthermore, even with the above programs satisfying the majority of our entrepreneurs there may still be a few that cannot utilize these programs and therefore we’re introducing WorkSpace’s Rental Deferral Program. This program offers those businesses the ability to defer some portion of their rent value for up to 90 days. *Subject to SWS approval
How to qualify?
How to apply?
4. WorkSpace is suspending Additional Rent Payment collection
While not all tenants are subject to additional rent payments, we will be suspending Additional Rent Collection for the majority of our industrial facility tenants for the next 60 days. *Some exceptions may apply
You will still receive your regular additional rent invoices however for industrial facility tenants those invoices will not be collected for the next 60 days. A reminder notice to those tenants will follow prior to those invoices being automatically withdrawn.
We believe this will keep more of your working capital in your hands to be utilized for regular rent payments and to manage your other undeferrable financial responsibilities.
5. Reduce your WorkSpace
We also like to remind all our entrepreneurs that you are still able to downsize your office or warehouse space at any time to reduce your rent amount. This can be done by contacting Client Services through www.swsp.ca and submitting a request forum.
While our main inquiry line remains closed, we believe that talking with us can still make things a little easier – the Client Services team is still available to help. Please note that most of our team members are still working from home therefore you might experience a slight delay in response, please rest assured that Client Services will be addressing every email they receive and are constantly reporting all their communication with senior management.
These are difficult times for everyone, WorkSpace included. Therefore, the only way we can get through this is with the support of one another to get through these uncertain times as a team. We wish everyone good health, and please stay safe.
Abdel R. Mahmoud
Founder & CEO
Shared Work Space Inc.
We recognize that the COVID-19 Virus is creating unprecedented challenging circumstances for everybody. We want you to know that our first priority is the health and safety of our entrepreneurs, partners and employees. We are here with you during these difficult and challenging times.
We are also aware that our shared work space program with all its benefits and flexibility provides essential support to a lot of small to medium size businesses that are able to operate and grow within its ecosystem. Therefore, it is now more important than ever that we keep the program running and continue to offer flexible lease term options to those businesses which stimulate our local economy and continue to prove that Canadian resilience is unwavering.
Nonetheless some of our current entrepreneurs may be facing difficulty keeping up with their current lease payments and managing their overhead business expenses. In order to provide further support to our current entrepreneurs during these unprecedented economic times, we are presenting the following measures:
1. Canada Emergency Business Account (CEBA), which was announced by the Government of Canada on March 27.
What is it?
• It’s a $40,000 government‑guaranteed loan to help eligible businesses pay for operating expenses, payroll and other non‑deferrable expenses.
• Until December 31, 2020, the Canada Emergency Business Account will be funded as a revolving line of credit for $40,000.
• After December 31, 2020, any outstanding balance on the revolving $40,000 line of credit will be converted into a non‑revolving 5‑year term loan maturing on December 31, 2025, at which time the balance must be paid in full.
• No interest applies until January 1, 2023.
• Commencing on January 1, 2023, interest accrues on the balance of the term loan at the rate of 5% per annum, payable monthly on the last day of each month.
• If you pay 75% of the balance of the term loan (as at January 1, 2021), on or before December 31, 2022, the remaining balance of your term loan will be forgiven. For example, if your balance is $40,000 on January 1, 2021 and you repay $30,000 on or before December 31, 2022, the remaining $10,000 will be forgiven.
• If you do not repay 75% of the balance of the term loan (as of January 1, 2021) on or before December 31, 2022, the full loan balance and all accrued and unpaid interest will be due and payable on December 31, 2025.
The Canada Emergency Business Account (CEBA) will be available through all major Canadian banks (RBC , CIBC , BMO, Scotia Bank and TD Canada Trust). You can apply for the CEBA starting the week of April 6th 2020. These funds can be utilized to pay operating expenses, payroll and other non‑deferrable expenses.
2. Deferral of Sales Tax Remittance and Customs Duty Payments
The Government of Canada is deferring all Goods and Services Tax/Harmonized Sales Tax (GST/HST) remittances and customs duty payments to June 30, 2020. This deferral keeps more of your operating capital in your hands helping you allocate the funds to more pressing business expenses.
3. WorkSpace Rent Deferral Program (RDP)
Furthermore, even with the above programs satisfying the majority of our entrepreneurs there may still be a few that cannot utilize these programs and therefore we’re introducing WorkSpace’s Rental Deferral Program. This program offers those businesses the ability to defer some portion of their rent value for up to 90 days. *Subject to SWS approval
How to qualify?
- The business must present proof that they are unable to qualify to any of the Canadian government provided business support programs (CEBA and Deferral of Sales tax Remittance).
- Provide proof of financial hardship or drop in sales.
- WorkSpace Rent Deferral Program applicants are subject to an administrational fee.
How to apply?
- Log on to www.swsp.ca – by using your regular username and password.
- Click on COVID – 19 Rent Deferral Program
- Fill out the online forum
- A member of our team will contact you within 3 business days of receiving your application to discuss program details and qualifications.
4. WorkSpace is suspending Additional Rent Payment collection
While not all tenants are subject to additional rent payments, we will be suspending Additional Rent Collection for the majority of our industrial facility tenants for the next 60 days. *Some exceptions may apply
You will still receive your regular additional rent invoices however for industrial facility tenants those invoices will not be collected for the next 60 days. A reminder notice to those tenants will follow prior to those invoices being automatically withdrawn.
We believe this will keep more of your working capital in your hands to be utilized for regular rent payments and to manage your other undeferrable financial responsibilities.
5. Reduce your WorkSpace
We also like to remind all our entrepreneurs that you are still able to downsize your office or warehouse space at any time to reduce your rent amount. This can be done by contacting Client Services through www.swsp.ca and submitting a request forum.
While our main inquiry line remains closed, we believe that talking with us can still make things a little easier – the Client Services team is still available to help. Please note that most of our team members are still working from home therefore you might experience a slight delay in response, please rest assured that Client Services will be addressing every email they receive and are constantly reporting all their communication with senior management.
These are difficult times for everyone, WorkSpace included. Therefore, the only way we can get through this is with the support of one another to get through these uncertain times as a team. We wish everyone good health, and please stay safe.
Abdel R. Mahmoud
Founder & CEO
Shared Work Space Inc.
