Updated information for government support

More financial support for businesses

Do you find the thought of having to siphon through another tenuous application for government support during this latest lockdown just all too hard? This is especially prevalent in New South Wales and Victoria at the moment as we experience an extra long lockdown, again.

However, I urge you to jump onto your state government’s website and search for COVID support payments to find out if you are eligible.

As of the 13th of August, Victoria's support package known as the COVID- 19 disaster payment is aimed at workers that have lost hours and sole traders who do not qualify for any other support scheme, and have lost work due to the latest round of lockdowns. This funding can be applied for through Services Australia. For NSW you can claim COVID-19 Disaster Payment from Sunday 22 August 2021 if you're in an area impacted by the 14 August 2021 NSW lockdown, and you've lost income or hours of work.

It is worth your time jumping online and having a look, because if you do qualify, I have heard reports that the payment is made in a very efficient manner and you are supported quite quickly.

The New South Wales government is offering a tiered system of evaluating each business. They are looking at the work they have lost whilst also supporting their employees. There are three different support payments available to businesses operating in New South Wales:

Note: In all cases your turnover (sales) has to decrease by at least 30%

1. COVID- 19 Micro Business grant- this grant is a fortnightly payment of $1500 from the start of lockdown.
   
2. Job Saver payment- this payment is to help support your employees, if you have been forced to shut your business due to the lockdown. You can receive 40% of your weekly payroll. The minimum payment is $1500 per week, and the maximum $100,000 per week.
   
3. COVID-19 Business grant- To help support businesses who have had a decline in business between 30- 70% of business in a specific time period. This payment can go towards a range of business expenses, from salaries, utility bills, rent or any other costs associated with running your business. 

Whilst in South Australia they are offering two types of support. So if you are a business in South Australia and employ people who live in South Australia you may be eligible for an amount between $1000- $3000, one off payment.

As with any government hand out, there is always the fine print- make sure you read it carefully. One of the biggest hurdles is to ensure you aren’t double dipping. We cannot give you a definitive answer here, as the more we look into it there appears to be a lot of grey areas. Some experts are saying you CAN apply for both payments (for example Service NSW) and other experts are saying you cannot. Ask the question, get it in writing before you apply. I recommend you weigh up each option and work out which is the best fit for your needs.

Speak to your financial advisor or accountant who can guide you to the best solution for your needs.

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