As we emerge from Victoria’s fifth lockdown the Federal & State Governments have launched further financial support for a majority of small & medium businesses across Victoria.
Whilst details are still to be released, the $400M package will be split across; a Small Business COVID Hardship Fund, a Business Continuity Fund, Licensed Hospitality Venue Fund, the Commercial Tenancy Relief Scheme & Landlord Hardship Fund & an Alpine Business Support program.
Business Continuity Fund (in addition to the Business Cost Assistance Program)
A $156 million Business Continuity Fund will be established to deliver $5,000 grants (+$2000 for CBD) to businesses that remain impacted by capacity limits placed on businesses by necessary public health restrictions. Twenty-four eligible sectors are covered by the fund including gyms, cafes, restaurants, catering services, and hairdressers. All recipients must have received or been eligible for the previous Business Cost Assistance Program.
Licensed Hospitality Venue Fund 2021
The Licensed Hospitality Venue Fund will receive a $70 million boost, with grants of up to $20,000 (+$2000 for CBD) to be made available to support licensed venues.To receive this funding, venues will need to have received or been eligible for the Licensed Hospitality Venue Fund 2021.
To receive this funding, venues will need to have received or been eligible for the Licensed Hospitality Venue Fund 2021.
Some payments should have automatically commenced during the course of the week ending 25 July 2021.
The Department of Jobs, Precincts, and Regions is working with 22,000 applicants to the Business Costs Assistance Program (and now Business Continuity Fund) to finalise those applications where information has been missing or further detail has been requested to confirm eligibility.
Businesses that had chosen not to apply for these support programs in relation to the May/June lockdown, or had been ineligible to apply but are now eligible, are also able to apply for July lockdown support payments and will be considered outside of the automatic top-up process.
If you had already applied for this funding previously, you do not need to re-apply.
If you have not yet received your funding and have any further questions regarding current grants and support available for your business please contact your STS Accountant.
Small Business COVID Hardship Fund
A new $85 million fund will be established to support small businesses that have not been eligible under existing business support funds. Small businesses with a payroll of up to $10 million who have experienced a 70 percent or greater reduction in revenue will be eligible for grants of up to $5,000.
Commercial Tenancy Relief for Victorian Businesses
Landlords will be required to provide proportional rent relief in line with a business’s reduction in turnover (min 30% decline). For example, a business with a turnover of 40 percent of pre-pandemic levels can only be charged 40 percent of its rent. Of the balance, at least half must be waived, with the remainder to be deferred. An $80 million hardship fund for landlords who provide rent relief to eligible tenants will be created.
Additional Support for Microbusinesses, Live Performance, Events & Sporting Clubs
In addition, microbusinesses not registered for GST will be eligible for the Covid-19 Disaster Payment of $600/$375 per seven-day period. The Victorian Government will establish a concierge service to help these businesses access this support.
A new round of the Live Performance Support programs, with funding of up to $7,000 for presenters and up to $2,000 for suppliers, has also been confirmed.
The Sporting Clubs Grants Program will also provide $2,000 grants for community sport and active recreation organisations for events that have been unable to proceed or will have to be cancelled or postponed.
Need further assistance?
If you need assistance in understanding your business’s eligibility for this next stage of support funding please don’t hesitate to touch base with your STS Accountant or get in touch with our office.
Contact us today.