Canada Small Business Financing Regulations

3 (1) A loan registration form must be signed by the borrower and the lender and contain the following information:

• (a) the borrower’s name and the civic address and telephone number of the small business;

• (a.1) the names of the borrower’s shareholders and the names of the guarantors or suretyships referred to in sections 19 and 20;

• (b) the day on which the loan was made;

• (c) a statement setting out separately

  • (i) the total amount of the loan,

  • (ii) the estimated amount of the loan allocated to each class of loans referred to in paragraphs 5(1)(a) to (c), and

  • (iii) the amount of the loan allocated to the class of loan referred to in paragraph 5(1)(d);

• (d) the total estimated cost of the purchase or improvement to be financed by the loan;

• (e) [Repealed, SOR/2009-102, s. 3]

• (f) the lender’s acknowledgement that the lender has not charged the borrower any fees or charges other than those authorized by the Act and these Regulations;

• (g) the borrower’s consent to

  • (i) the Minister’s audit of the loan approval and administration file held by the lender in respect of the loan, and

  • (ii) the release, by the Minister, of information with respect to the borrower’s outstanding loans, to another lender to whom the borrower applies for a loan;

• (h) the lender’s acknowledgement that, before making the loan, it verified within the branch where the loan was to be made, or if it has no branches, within itself, that the outstanding loan amount in relation to the borrower does not exceed the limits set out in paragraph 4(2)(c) of the Act;

• (i) the borrower’s acknowledgement that the outstanding loan amount in relation to the borrower does not exceed the limits set out in paragraph 4(2)(c) of the Act;

• (j) the borrower’s acknowledgement that the making of the loan is not prohibited by any of subsections 5(2), (4) or (6);

• (k) the lender’s acknowledgement that, before approving the loan, the lender acted in accordance with the due diligence requirements referred to in section 8; and

• (l) the borrower’s acknowledgement, for the purposes of subsection 14(6), as to whether or not the borrower is at arm’s length from the landlord.

(2) If a loan registration form is transmitted by electronic means, it must include the electronic signature of the lender and contain the information set out in paragraphs (1)(a) to (l) and the following:

• (a) the borrower’s acknowledgement that the lender is authorized to transmit electronically the information contained in the form on behalf of the borrower and that the borrower has signed a copy of the form; and

• (b) the lender’s acknowledgement that it will keep a copy of the form that is signed by the borrower on file.

(3) For the purposes of subsection (2), electronic signature has the same meaning as in subsection 31(1) of the Personal Information Protection and Electronic Documents Act.

(4) A loan registration form must not be transmitted by electronic means unless it is transmitted through a designated secure electronic registration system.

(5) and (6) [Repealed, SOR/2009-102, s. 3]