As hundreds of thousands of SMEs across NSW face the cost of another month of lockdowns and stay at home orders, the Berejiklian and Morrison Governments have expanded the support package announced four weeks ago.
Here’s what’s involved – and how brokers can help their SME clients.
Major JobSaver boost to expand Covid-19 support
The JobSaver payment will be available to businesses with an annual turnover between $75,000 and up to $250 million (up from $50 million), which can demonstrate a 30% decline in turnover.
The maximum weekly payment has also been substantially increased, with employing businesses that maintain current headcounts now able receive between $1,500 and $100,000 per week, up from $10,000, with payments based on 40% of their weekly NSW payroll[i].
Applications for JobSaver opened on Monday 26 July with more than 14,000 applications already received and almost $28 million approved for payment so far. Payments are expected to start hitting bank accounts from 31 July.
Moreover, the new JobSaver arrangements announced by NSW Treasurer Dominic Perrottet will be backdated, so businesses that have already received a payment will be topped up when their next payment is made.
Mr Perrottet said, “We appreciate how difficult it is for businesses right now, and we are also prioritising getting money out the door and into pockets as fast as possible.”
Non-employing businesses such as sole traders remain eligible for a maximum of $1,000 per week.
2021 COVID-19 Business Grant
Businesses have also received much needed support from the 2021 COVID-19 Business Grant to cover the first three weeks of lockdown. with more than $118 million paid to businesses so far from more than 56,000 applications received.
These one-off grants are available until 13 Sep 2021 to help NSW businesses, sole traders and not-for-profits survive the impacts of the recent COVID-19 lockdown and restrictions. Eligible applicants across NSW can use the grant for business costs incurred from 1 June 2021, including utilities, wages, and rent, as well as legal and marketing expenses.
How brokers can help
Cameron Poolman, CEO of OnDeck, is urging brokers to reach out to their SME clients to let them know help is available.
Businesses can apply for support payments and other forms of state-based relief via the Service NSW website.
“Explain to your SME clients the steps that can be taken to fast-track any support payments by ensuring their business and contact details are up-to-date with the Australian Business Register (ABR),” said Cameron Poolman
“Brokers should remind their clients that fast, efficient funding is also available through OnDeck to assist them with cashflow – or to seize opportunities that may arise such as pivoting to online sales during this challenging time,” Cameron Poolman added.
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