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What the government’s support packages in each state mean for your business

By August 2, 2021September 15th, 2021No Comments

With each state experiencing their own roller-coaster journey with the COVID-19 pandemic, it can get pretty confusing for some business owners as to what applies to them. Luckily, Victoria and South Australia have just come out of their lockdown, but we’ve now seen some local government areas in Queensland put into a snap lockdown, and Sydney’s lockdown extended yet again.

Many of the states, regardless of whether you’re currently in lockdown or have just come out of a lockdown, have support packages available for eligible businesses – yep even your salon, spa or barber shop! Click the link below to jump to the relevant information for you:

We want to help keep you as updated as possible with what all the news that may apply to your business. And remember – we’re in this together!

NSW Government COVID-19 support package

To those of you in New South Wales – particularly the Sydney area – we feel for you! An extended lockdown is the last thing you need for your business and mental health. But it is the number one thing the state needs to come out the other side.

The New South Wales government is offering support to business affected by this lockdown period – including salons, spas and barbershops.

So far, the NSW COVID-19 Business Grant includes a one-off payment to help businesses with cashflow support for the first 3 weeks of lockdown.

How much is available?

$7,500 to $15,000 depending on the decline in turnover

Who is eligible?

  • Businesses who have experienced a revenue decline of 30% or more.
  • Businesses with an annual turnover above $75,000.
  • Businesses with a payroll up to $10 million.

How do I get it?

Click here to complete your application.

JobSaver support

What is it?

The NSW Government is providing fortnightly payments to help maintain your staff headcount (as at 13 July) and provide cashflow support to businesses.

How much is available?

  • Employing businesses: 40% of their weekly NSW payroll, with payments between $1,500 and $100,000 per week
  • Non-employing business: $1,000 per week

Who is eligible?

  • Businesses who have a revenue decline of 30% or more
  • Businesses who have a turnover between $75,000 and $250 million

How do I get it?

Click here to complete your application.

COVID-19 Micro Business Grants

What is it?

A fortnightly payment for businesses with a turnover between $30,000 and $75,000

How much is available?

$1,500 per fortnight

Who is eligible?

To be eligible for the grant, you must:

  • have an active Australian Business Number (ABN) registered in, or demonstrate your business was primarily operating in, NSW as at 1 June 2021
  • have had an aggregated annual turnover between $30,000 and $75,000 for the year ended 30 June 2020
  • have experienced a decline in turnover of 30% or more due to the public health order over a minimum 2-week period within the period of restrictions (commenced 26 June 2021), compared to:
    • the same period in 2019, or
    • the same period in 2020, or
    • the 2 weeks immediately prior to any restrictions of 12 June to 25 June 2021 (inclusive).
  • have business costs for which no other government support is available
  • have not applied for either the 2021 COVID-19 business grant or the JobSaver payment
  • for employing businesses, maintain your employee headcount from 13 July 2021, if you receive payments from the commencement of the micro-business grant, or from the day immediately prior to the fortnight you first experienced the required decline in turnover, for the period you are receiving grant payments; businesses that do not maintain their headcount agree to notify Service NSW
  • have this business as your primary income source, if you’re a non-employing business such as a sole trader.

Note: This is a brief summary of what the COVID-19 Micro Business Grant involves. Please click here to visit the NSW Government website for more information on ineligibility and additional requirements for this grant.

How do I get it?

Click here to complete your application. Applications will close after 11:59pm on 18 October 2021.

Payroll tax deferrals

What is it?

Businesses have the option to defer their payment of the 2020-21 annual reconciliation, July and August 2021 monthly return periods until 7 October 2021. Interest free repayment plans for up to 12 months will be available.

How much is available?

Deferral of the 2020-21 annual reconciliation payment as well as the July and August Monthly payments until 7 October 2021

Who is eligible?

  • Any NSW business liable for payroll tax.

Click here to learn more.

Payroll tax reduction

What is it?

A 25% reduction to help reduce overheads for eligible businesses with a 30% decline in turnover.

How much is available?

Eligible customers will receive a 25% reduction in their 2021-22 payroll tax liability if they have experienced a 30% decline in turnover

Who is eligible?

  • Businesses who have a decline in turnover of 30%
  • For NSW businesses with grouped Australian wages of no more than $10 million

Click here to learn more.

The information in this article is accurate as at Monday 2nd August 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

VIC COVID-19 Business Support Package

A new jointly funded package from the Commonwealth and Victorian Governments will give Victorian small and medium businesses the extra support and confidence they need to recover from the recent lockdown.

The new Victorian Business Support Package will deliver an additional $400 million in support to thousands of businesses, with funding to be split 50/50 between the Commonwealth and Victorian Government.

The package includes a new $85 million Small Business COVID Hardship Fund and $156 million Business Continuity Fund. And yep, hair and beauty businesses are considered!

Business Continuity Fund

A $156 million Business Continuity Fund will be established to deliver $5,000 grants to up to around 30,000 businesses that remain impacted by capacity limits placed on businesses by necessary public health restrictions.

Hairdressers are one of the twenty-four eligible sectors covered by the fund.

Recognising businesses located in the CBD that are impacted by restrictions on the number of people allowed in a building will also be eligible to receive an additional $2,000 recognising reduced foot traffic due to density limits.

All recipients must have received or been eligible for the previous Business Cost Assistance Program.

Small Business COVID Hardship Fund

Providing $20,000 grants for eligible small and medium businesses that have experienced a reduction in turnover of at least 70%.

Please note: applications for this grant closed on September 10th.

Commercial Tenancy Relief Scheme – reintroduced

To ease the pressure on Victoria’s small and medium-sized businesses at this time, the Victorian Government has reintroduced the Commercial Tenancy Relief Scheme (the Scheme).

The Scheme will help small and medium-sized businesses with an annual turnover of less than $50 million that have experienced a fall in turnover of more than 30 per cent during the coronavirus (COVID-19) pandemic. For more information about eligibility, see question 9 of our FAQs.

Eligible business owners can obtain relief in the form of a proportionate reduction in rent. For example, a business with a turnover of 40 per cent of pre-pandemic levels can only be charged 40 per cent of its rent. Of the balance, at least half must be waived, with the remainder deferred.

There is a freeze on rent increases and evictions for not paying rent, which are banned until 15 January 2022, where the tenant is eligible.

Under the Scheme, the Victorian Small Business Commission (VSBC) is supporting tenants and landlords by providing information to assist with negotiating a rent relief agreement (see question 22 of our FAQs) and access to free and impartial mediation if a fair agreement can’t be reached.

Tenants can also apply to the VSBC for a binding order for rent relief if their landlord fails to respond or sufficiently respond to the VSBC or doesn’t engage in mediation in good faith.

The Scheme applies retrospectively from 28 July 2021 and will run until 15 January 2022.  For more information about the Scheme’s key features, see question 2 of our FAQs.

Please click here to learn more about the Commercial Tenancy Relief Program.

Alternative Support

Victoria has a number of support programs available to small business owners. Some that may be of interest to you are:

  • Business recovery and resilience mentoring. Through this program, eligible business owners can receive up to four 2-hour mentoring sessions with an experienced professional who will help them make informed decisions about the future of their business. Click here to learn more.
  • Small Business Digital Adaptation Program. The Small Business Digital Adaptation Program provides $1200 rebates so small businesses can access a range of digital business tools. The Victorian Government has partnered with 14 suppliers to help you build or upgrade your website, improve your cash flow, start online marketing, manage your jobs and projects, and keep better track of stock. Click here to learn more. 
  • COVID Safe Deep Cleaning Rebate. The COVID Safe Deep Cleaning Rebate is available for small and medium-sized businesses, where anyone suspected or confirmed to have coronavirus (COVID-19) has been on the premises or worksite when they may have been infectious. Click here to learn more. 

Please click here to view all of the grants and support currently offered by the Victorian Government. 

The information in this article is accurate as at Monday 13th September 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

QLD COVID-19 Business Support Grant

2021 COVID-19 Business Support Grants

Your business or not-for-profit organisation may be eligible for financial support through the 2021 COVID-19 Business Support Grants, if it has been affected by the August 2021 COVID-19 lockdowns in Queensland.

Applications will close:

  • for employing businesses on 16 November 2021
  • for non-employing sole traders on 30 November 2021.

Please note these grants have been extended to those who have been impacted in the border zone. Please click here to learn more. 

Who can apply?

Employing Queensland small businesses and not-for-profit organisations with a payroll size less than $1.3 million.

Available funding: $10,000

To be eligible, you must:

  • have a turnover of more than $75,000 per annum and have an annual payroll in Queensland of less than $1.3 million (Note: Employees do not include contractors and sub-contractors)
  • have been impacted by the South East Queensland lockdown commencing 31 July 2021 or the Cairns and Yarrabah lockdown commencing 8 August 2021 or any other Queensland lockdown in the month of August 2021.

Note: You are not restricted to lockdown areas.

Non-employing sole traders based in Queensland can also apply.

Available funding: $1,000

A $1,000 grant is available to non-employing sole traders affected by Queensland COVID-19 lockdowns in August 2021.

This is a one-off grant and you must meet the eligibility criteria at the time of making your application.

You need to have applied and had your information verified by 30 November 2021.

For more details around eligibility, available funding and how to apply, please click here. 

The Queensland Government have a number of other grants that may be applicable and helpful for your business. Please click here to view all grants currently available from the QLD government. 

The information in this article is accurate as at Wednesday 15th September 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

WA COVID-19 Small Business Lockdown Assistance Grant

Applications for the Covid-19 Small Business Lockdown Assistance Grant have now closed.

There is an Electricity Offset grant that may be of interest to you. Applications will close September 30th 2021. Click here to learn more.

The information in this article is accurate as at Wednesday 15th September 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

SA COVID-19 Business Support Grant

The South Australian Government has announced a July 2021 COVID-19 Business Support Grant Program to support thousands of South Australian small and medium-sized businesses that suffer a significant loss of income or have been forced to close as a result of the restrictions imposed from 20 July 2021.

Grants of $3,000 for employing businesses and $1,000 for non-employing businesses are available for eligible businesses whose turnover has declined by 30% or more as a result of the COVID‑19 health restrictions in the week commencing 20 July 2021.

The $3000 Business Support Grant

To be eligible for the $3,000 grant a business must meet all criteria listed below, at the start of the restriction period of 12:01am Tuesday 20 July 2021:

  • Be located within South Australia.
  • Have an annual turnover of $75,000 or more in 2020-21 or 2019-20, and be registered for GST.
  • Have a valid and active ABN (Australian Business Number).
  • Must employ people in South Australia.
  • Have an Australia-wide payroll of less than $10 million in the 2019-20 financial year.
  • Experienced at least a 30 per cent reduction in turnover in the week of Tuesday 20 July 2021 – Monday 26 July 2021 (inclusive) (compared to the prior week) due to restricted trading conditions.

Applications for the Business Support Grant must be submitted by 11:59pm, 30 September 2021.

The $1000 Business Support Grant

To be eligible for the $1,000 grant, non-employing businesses will be subject to the eligibility criteria outlined above, excluding the requirement to employ people.

Where multiple non-employing businesses meeting the eligibility criteria are controlled by one individual, company, partnership, or trustee, funding will be restricted to one grant for all non-employing businesses controlled by the individual, company, partnership, or trustee.

Non-employing businesses are not eligible to apply if persons associated with the business, and who derive income from it, have applied for, or are receiving, the Commonwealth COVID-19 Disaster Payment.

Businesses will be required to declare that they have experienced a loss or reduction in turnover due to restricted trading conditions. They will not be required to provide any supporting information at the time of application but will be required to retain supporting information for 12 months that could be made available for audit and compliance purposes such as:

  • Turnover comparison data for the week prior to the assessment period
  • Emails or texts to or from clients or suppliers detailing cancelled orders or appointments
  • Receipts for refunds provided
  • Invoices or delivery dockets
  • Appointment/scheduling platform, demonstrating cancelled appointments or bookings
  • Screenshots of cancelled events

Applications for a Business Support Grant will close at 11:59pm on 30 September 2021.

For more information on the Business Support Grant, please click here and refer to the government website.

The information in this article is accurate as at Monday 2nd August 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

ACT COVID-19 Small Business Support Schemes

The ACT Government will provide support for small businesses in the ACT facing a significant loss in revenue due to the current lockdown in the ACT.

COVID-19 Business Support Grants – Employing Businesses 

The ACT COVID-19 Business Support Grants provide employing businesses with a one-off $20,000 grant for the lockdown period.

Businesses must meet all the eligibility criteria including:

  • have a valid and active ABN as recorded on the Australian Business Register and be registered for GST on or before April 2021 and be able to demonstrate primary operation in the ACT as at 1 April 2021;
  • Have an annual turnover of more than $75,000 (excluding GST) in either 2019-20 or 2020-21;
  • Employ people in the ACT; and
  • Total annual Australian wages of less than $10 million in 2019-20 or 2020-21.

Businesses will need to provide evidence of a 30 per cent reduction in turnover revenue in a consecutive 7-day period in the declared lockdown (between Friday 13 August and Friday 17 September), compared with a consecutive 7-day period in April 2021 to August 2021 for which comparable business activity would have occurred.

Businesses can apply at any time and will not have to submit individual applications for each week.  Payment will be made in a lump sum on average within 30 days of receiving a correctly lodged application. If we need to seek further or updated information from you to correctly assess your claim, this timeline will be reset. Note that we expect high initial demand and the timeframe may need to be extended.

Click here to learn more.

COVID-19 Business Support Grants – Non-Employing Businesses 

The ACT COVID-19 Business Support Grants provide non-employing businesses with a one-off $7,500 grant over the lockdown period.

Applications are now open.

Businesses must meet all the eligibility criteria including:

  • have a valid and active ABN as recorded on the Australian Business Register and be registered for GST on or before April 2021 and be able to demonstrate primary operation in the ACT as at 1 April 2021;
  • Have an annual turnover of more than $75,000 (excluding GST) in either 2019-20 or 2020-21; and
  • Not employ people as at 1 April 2021.

Businesses will need to provide evidence of a 30 per cent reduction in turnover revenue in a consecutive 7-day period in the declared lockdown (between Friday 13 August and Friday 17 September), compared with a consecutive 7-day period in April 2021 to August 2021 for which comparable business activity would have occurred.

Businesses can apply at any time and will not have to submit individual applications for each week.  Payment will be made in a lump sum on average within 30 days of receiving a correctly lodged application. If we need to seek further or updated information from you to correctly assess your claim, this timeline will be reset. Note that we expect high initial demand and the timeframe may need to be extended.

Click here to learn more. 

COVID-19 Small Business Hardship Scheme – up to $10,000

Eligible small businesses will be able to apply to the ACT Government to receive credits for payroll tax, utility charges, rates and other selected fees and charges up to a maximum of $10,000 per operator.

To be eligible, applicants must demonstrate a 30 per cent loss of revenue from June quarter 2021 to September quarter 2021 and have a turnover between $30,000 and $10 million.

The COVID-19 Small Business Hardship Scheme will open in October 2021.  Detailed guidelines for the Small Business Hardship Scheme will be made available in the coming weeks.

Express your interest in this scheme

COVID-19 Disaster Payment

Employees who are unable to earn an income during the lockdown may be able to access the Commonwealth Government’s COVID-19 Disaster Payment.

Payment amounts will vary from $200 to up to $750 depending on the hours of work lost during the lockdown and other eligibility criteria.

More information about the scheme and how to apply is available on the Services Australia website.

Payroll tax exemption – apprentices or trainees

Wages paid to new employees who are apprentices or trainees employed after 1 August 2020 are exempt from payroll tax from the start of their employment until 30 June 2022.

Find out more on the ACT Revenue Office website.

The information in this article is accurate as at Wednesday 15th September 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

New Zealand Covid-19 Support

If your business has to close temporarily or reduce opening hours

COVID-19 Wage Subsidy Scheme

If your business cannot operate because of Alert Level 4 restrictions or you will lose revenue, you can apply for the COVID-19 Wage Subsidy scheme to help keep paying your staff and protect jobs.

Businesses and self-employed people must expect a 40% drop in revenue to be eligible to receive the wage subsidy.

The wage subsidy is paid in a 2 week lump sum. You can get:

  • $600 per week for each full-time employee
  • $359 per week for each part-time employee

Businesses anywhere in New Zealand can apply for the Wage Subsidy Scheme if they are eligible.

As an employer you must pass on the full wage subsidy to your employee. If the wage subsidy is more than your employee’s pay, you can continue to pay them at their normal rate.

If your business has to physically close but your employees can work from home, and you are not eligible for the Wage Subsidy Scheme, you need to keep paying them their usual salary or wages.

You cannot get the Wage Subsidy August 2021, Leave Support Scheme and Short-Term Absence Payment for the same employee at the same time.

Applications for the August 2021 Wage Subsidy are now open. You need to apply through Work and Income.

A third Wage Subsidy Scheme payment for eligible businesses has been announced. This is because Auckland is remaining at Alert Level 4. If your business is eligible, you can apply from Friday 17 September 2021.

Find out if you are eligible for the Wage Subsidy and how to apply(external link)

COVID-19 Resurgence Support Payment

The COVID-19 Resurgence Support Payment helps to cover wages and fixed costs for businesses who have been directly affected when there is an increase to Alert Level 2 or higher for a week or more.

To be eligible, your business must have experienced at least a 30% drop in revenue or a 30% decline in capital-raising ability over a 7-day period, due to an increase in Alert Levels.

You can receive $1,500 per business plus $400 per full-time employee (FTE), up to 50 FTE.

The maximum payment is $21,500.

If you’re a sole trader, you can receive a payment of up to $1,900.

Applications for the COVID-19 Resurgence Support Payment are now open. You need to apply through Inland Revenue. Businesses anywhere in New Zealand can apply if they meet the eligibility criteria.

You can apply for both the COVID-19 Resurgence Support Payment and the COVID-19 Wage Subsidy Scheme if you meet all the eligible criteria.

Find out more information about the COVID-19 Resurgence Support Payment and how to apply(external link)

 

If your business has reduced revenue

Small Business Cashflow Loan Scheme

If you employ 50 or fewer staff, you may be able to apply for the Small Business Cashflow Loan Scheme. This is a one-off 5 year loan. You can borrow a maximum of $10,000 plus $1,800 per full-time-equivalent employee within your business.

  • When applying for the loan, you need to be able to declare that your business is viable.
  • Your business must have experienced a minimum 30% decline in actual or predicted revenue over the period of a month, compared with the same month last year. You can use the Revenue Estimator Tool to better understand your revenue.
  • Applications are open until 31 December 2023 through myIR. If your business does not have a myIR account, you will need to create one to apply.

Loans will be interest free if they are paid back within 2 years. The interest rate is 3% for a maximum term of 5 years.

How to get the Small Business Cashflow Loan Scheme | ird.govt.nz(external link)(external link)(external link)

COVID-19 Revenue Calculator | business.govt.nz(external link)

Help with your tax

If you are finding it hard to meet your tax obligations due to COVID-19, Inland Revenue may be able to help.

COVID-19 information for businesses | Inland Revenue(external link)

Insolvency relief for businesses

The COVID-19 Business Debt Hibernation scheme allows businesses to get a month’s protection while they talk to their creditors. During this period, most creditors cannot take legal action to enforce their debts, for example, applying for your business to be liquidated. If your creditors agree, you can get a further 6 months’ protection.

Applications are open until 31 October 2021.

Find out if business debt hibernation is an option for you

The information in this article is accurate as at Friday 27th August 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

NT Business Grants and Funding

Applications for the Northern Territory’s Covid-19 Small Business Survival Payments and Business Saver Grant’s are now closed.

However please click here to view all grant and loan schemes offered by the Northern Territory that may be applicable for your business and unique circumstances.

The information in this article is accurate as at Wednesday 15th September 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

Tasmania Business Growth Loan Scheme

Business Growth Loan Scheme

The Tasmanian Government has announced a $60 million Business Growth Loan Scheme.

The scheme provides businesses with concessional loan funding to adapt and transition to sustainable post-COVID operating models.

Loans from $20,000 to $3 million are available for eligible businesses and new projects. The scheme is open for 12 months or until all funding has been fully allocated, whichever occurs first.

For more information visit the Business Tasmania website or call 1800 440 026.

Currently there doesn’t appear to be any Covid-19 relief support packages for salons, however please click here to view all grant and loan schemes offered by Tasmania that may be applicable for your business and unique circumstances.

The information in this article is accurate as at Wednesday 15th September 2021. We are aware that more schemes are being discussed, and we will update this article, and our Shortcuts community, as the State Governments releases more information. Please always refer to the government websites for the most up to date and accurate information.

Caitlin Adamson

Caitlin Adamson

Caitlin Adamson is a passionate creative and analytical thinker who brings her love for the written word to the marketing world. She brings her fresh outlook to the Shortcuts team and strives to create strategic and engaging collateral to help salons, spas, clinics and barbers to tackle their business endeavours with confidence.

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