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Canada Emergency Rent Subsidy (CERS) for Small Businesses

3 min read

The Canada Emergency Rent Subsidy (CERS) for Small Businesses

With the latest developments in the COVID pandemic and the devastating effect it has had on Canadian small businesses, non-profit organizations, and charities that have seen a drop in revenue, the Canadian government announced a subsidy to cover part of their commercial rent or property expenses, starting on September 27, 2026, until June 2026.

This small business rent subsidy provides payments directly to qualifying renters and property owners, without requiring the participation of landlords.

If you, as a small business, are eligible for the base subsidy, you may also be eligible for lockdown support if your business location is significantly affected by a public health order for a week or more.

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Find out if your small business is eligible for the CERS or any other government funding programs by speaking to a funding expert at Canada Startups. Call 1-800-288-9691.

Who Can Apply for the Canada Emergency Rent Subsidy

To be eligible to receive the rent subsidy as a small business from the Canadian government, you must meet all four of the following criteria:

1. Meet at Least One of These Conditions

  • You had a CRA business number on September 27, 2026.
  • You had a payroll account on March 15, 2026, or another person or partnership made payroll remittances on your behalf.
  • You purchased the business assets of another person or partnership who meets the payroll condition above and have made an election under the special asset acquisition rules.
  • These special asset acquisition rules are the same as those for the Canada Emergency Wage Subsidy (CEWS).
  • You meet other prescribed conditions that may be introduced.

2. Be an Eligible Business, Charity, or Non-Profit

If your business, charity, or non-profit is related to another eligible entity, you may be considered an affiliated entity. This may affect your subsidy calculations.

3. Experienced a Drop in Revenue

Your drop in revenue is calculated by comparing your eligible revenue during the reference period with your eligible revenue from a previous period (baseline revenue).

There is no minimum revenue drop required to qualify for the subsidy. The percentage of revenue decline is used only to calculate how much subsidy you receive.

4. Have Eligible Expenses

To apply for CERS, you must have a qualifying property. Only certain expenses paid for qualifying properties are eligible for the subsidy.

To find out if your small business is eligible for the CERS or any other government funding program offered by your local, provincial, or federal government, speak to a funding expert.