Your business may well be struggling big time in the Greater Sydney lockdown, since for the first time the construction industry has also been highly impacted.
In response to the current Greater Sydney lockdown, the NSW State Government has announced a number of grants to help small businesses stay afloat. The current guidelines state to be eligible for these grants your trade business needs to show a certain level of decline in turnover compared with the same period in 2019 if your business existed then, or an alternative period if not, and applications are made through Service NSW – either online or by visiting in person.
Here’s a summary of the grants to help you work out which of these your trade business may be eligible for….
COVID-19 Business Grant
The COVID-19 Business Grant is a one-off cash payment to help cover business expenses for which no other government support is available. Depending on your level of decline in turnover the grants are either $7,500, $10,500 or $15,000.
To meet the basic eligibility criteria for this grant, your trade business must have….
- An ABN and been operating in NSW since 1st June 2021;
- Had an annual turnover of at least $75,000 (but less than $50 million) in the 2019/2020
financial year; - Pay $10 million or less in Australian wages as at 1st July 2020
- Experienced a decline of at least 30% or more due to the Public Health Orders over a
minimum 2-week period between 26th June 2021 and 17th July 2021 compared to the
same period in June and/or July 2019 and; - Kept on your employees as at 13th July 2021 for the period for which your business is
receiving this Grant.
If your trade business has experienced at least a 30% decline in turnover within the specified date range compared with 2019 you may be eligible to receive $7,500. For at least a 50% decline the amount is $10,500 and for at least a 70% decline, it’s $15,000.
Both trade businesses with employees as well as sole traders operating alone can apply for this grant if you meet the eligibility criteria, and applications are open until 13th September 2021.
To find out more information about this COVID-19 Business Grant go to https://www.service.nsw.gov.au/2021-covid-19-business-grant-guidelines and to apply go to https://www.service.nsw.gov.au/transaction/2021-covid-19-business-grant
COVID-19 JobSaver Payment
The JobSaver Payment is a fortnightly payment to eligible businesses equivalent to 40% of their weekly payroll.
This Payment is primarily designed to help your trade business keep your employees until after lockdown is lifted. However, this money can also be used to cover other general business expenses.
Your trade business must again meet certain criteria to receive this Payment including having….
- An ABN and been operating in NSW since 1st June 2021 (as with the COVID-19
Business Grant); - Had an annual turnover of at least $75,000 (but less than $50 million) in the 2019/2020
financial year (as with the COVID-19 Business Grant); - Experienced at least a 30% decline in turnover or more due to the Public Health
Orders over a minimum 2-week period between 26th June 2021 and 30th July 2021
compared to the same period in June and/or July 2019 and; - Kept on your employees as at 13th July 2021 for the period for which your business is
receiving JobSaver Payments;
For sole traders operating alone, you need to show that your trade business is your primary source of income.
As for the COVID-19 Business Grant, both trade businesses with employees as well as sole traders operating alone can apply for this grant if you meet the eligibility criteria, and applications are open until 18th October 2021.
For trade businesses with employees, your trade business can receive the JobSaver Payment even if your employees are receiving the Commonwealth COVID-19 Disaster Payment. However, for sole traders operating alone, you cannot receive both the JobSaver Payment and the Commonwealth COVID-19 Disaster Payment.
To find out more information about this COVID-19 JobSaver Payment go to https://www.service.nsw.gov.au/jobsaver-payment-guidelines and to apply go to https://www.service.nsw.gov.au/transaction/jobsaver-payment
COVID-19 Micro-Business Grant
The COVID-19 Micro-Business Grant is a fortnightly payment of $1,500 to, once again, help cover business expenses for which no other government support is available.
Your trade business may be eligible for this grant if it has….
- An ABN and has been operating in NSW since 1st June 2021 (as with the COVID-19
Business Grant and JobSaver Payment); - Had an annual turnover of more than $30,000 but less than $75,000 in the 2019/2020
financial year; - Experienced at least a 30% decline in turnover or more due to the Public Health
Orders over a minimum 2-week period between 26th June 2021 and 30th July 2021
compared to the same period in June and/or July 2019 and (as for the COVID-19
JobSaver Payment); - Kept on your employees as at 13th July 2021 for the period for which your business is
receiving the Grant; - For sole traders operating alone, your trade business must be your primary source of
income.
As for the COVID-19 Business Grant and The COVID-19 JobSaver Payment, both trade businesses with employees as well as sole traders operating alone can apply for this grant if you meet the eligibility criteria, and applications are open until 18th October 2021.
If you have employees, your trade business can receive the COVID-19 Micro-Business Grant even if your employees are receiving the Commonwealth COVID-19 Disaster Payment. However, for sole traders operating alone, you cannot receive both the COVID-19 Micro-Business Grant and the Commonwealth COVID-19 Disaster Payment.
For further guidelines on the COVID-19 Micro-Business Grant go to https://www.service.nsw.gov.au/2021-covid-19-business-grant-guidelines and to apply go to https://www.service.nsw.gov.au/transaction/2021-covid-19-micro-business-grant
P.S. The guidelines as to who’s eligible for these Grants and Payment can be very confusing, so don’t despair if you need some help!!! Please feel free to reach out NOW at bettina@tradiesbookkeeping.com.au or call 0424 467 921 for lots of helpful information and advice to help you get through this very challenging time….