NSW Government just announced grants of up to $10,000 for Small Business.
Today (3rd April 2020) the Premier, Treasurer and Minister for Finance and Small Business announced the Small Business Support Fund – a new $750 million assistance scheme that will provide grants of $10,000 for eligible small businesses, who do not pay payroll tax.
Ms Berejiklian said “These grants will provide a big boost, and we will make the application process easy to ensure small businesses can receive some cash-flow as soon as possible to meet pressing needs.” This means many local cafés, restaurants, corner shops, gyms and small accommodation providers will be eligible to apply.
It is said to be the largest support package for small business in the history of NSW.
It is understood their revenues would need to have taken a hit of up to 75 per cent, compared to the same two-week period in 2019, which is a much higher benchmark than the 30 per cent drop the federal government requires for the JobKeeper policy. Also, the grant must be used for funding unavoidable business costs such as utilities, overheads, legal costs and financial advice.
To be eligible, businesses will need to:
- have between 1-19 employees and a turnover of more than $75,000
- a payroll below the NSW Government 2019-20 payroll tax threshold of $900,000
- have an Australian Business Number as at 1 March 2020, be based in NSW and employ staff as at 1 March 2020
- be highly impacted by the Public Health (COVID-19 Restrictions on Gathering and Movement) Order 2020 issued on 30 March 2020
- provide appropriate documentation upon application.
- be in a highly impacted industry
If your business is not in one of the highly impacted industries but you can demonstrate a significant disruption to your business resulting in a 75% reduction in turnover as a result of the Public Health Order 2020, you may be eligible for this grant. You will require a letter from your accountant confirming you meet a number of criteria.
Applications for a small business grant of up to $10,000 will be available through Service NSW within a fortnight and remain open until 1 June 2020.
It’s important that small businesses seek the advice of professionals who can advise on the specifics of their particular business, so if you have any questions or concerns, please contact us immediately.