In light of the persistent challenges posed by the COVID-19 pandemic, the Canadian government has recently extended the repayment deadline for the Canada Emergency Business Account (CEBA) loan. In this article, we will provide invaluable insights into the CEBA loan repayment extension and its implications for small businesses in Canada. At Muia Consulting, we are committed to keeping you informed and empowered in these uncertain times.

The CEBA Loan Repayment Deadline Extension:

Originally slated for December 31, 2022, the deadline for loan repayment and potential forgiveness had been extended by an additional year to December 31, 2023. Recognizing the demands on businesses, the federal government has graciously granted an extension to January 18, 2024. This pivotal update offers much-needed financial flexibility, allowing businesses to manage their resources effectively.

Unlocking Loan Forgiveness Opportunities:

In a fortunate turn for CEBA borrowers, the Canadian Federation for Independent Business (CFIB) has announced that early repayments before the December 2023 deadline will exempt businesses from interest charges, and up to 33% of their loans could be forgiven. Adhering to the new January deadline will result in loan forgiveness of $10,000 for a $40,000 loan and $20,000 for a $60,000 loan. We at Muia Consulting can assist you in navigating these opportunities, ensuring you get the most out of this program.

Optimizing Communication with Financial Institutions:

Maintaining open channels of communication with financial institutions is paramount for businesses seeking financial stability and resilience. This ensures businesses stay updated on:

  • Eligibility criteria
  • Application processes
  • Program-related updates or benefits

Those able to submit a refinancing application with their financial institution by January 18, 2024, will benefit from an extended qualification deadline for partial loan forgiveness until March 28, 2024. Any outstanding loans post the January date will be automatically transitioned into three-year term loans with a 5% annual interest rate. Additionally, the term loan payback deadline will be extended to December 2026.

Assessing the Impact:

While the federal government has taken steps to provide extensions, the Canadian Federation for Independent Business (CFIB) contends that more may be needed. They underscore the removal of the $20,000 forgiveness provision for borrowers unable to repay loans by year’s end as a critical issue with outstanding CEBA loans. As an accounting firm committed to your financial well-being, we understand the challenges this presents to many small business owners.


The extension of the CEBA loan repayment deadline is a significant development for Canadian businesses. As your trusted accounting firm, we are dedicated to helping you navigate these changes and make the most of available opportunities. This extension provides a crucial lifeline and an opportunity to regain financial stability. We stand with you in recognizing the resilience and importance of the business community in Canada. While the path to recovery may be complex, this extension promises a smoother journey, empowering businesses to emerge stronger than ever before. For personalized guidance and support, feel free to explore our website for a wealth of resources and expertise tailored to your financial needs.

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