Which government grants could your business be eligible for?
COVID-19 has caused a lot of financial disruption for Australian businesses. Here are the government grants that may help, whether you’re an employer or a sole trader.
The regular challenges of being a business owner in Australia have only been compounded by coronavirus. While previous government support has favoured businesses with employees, we’ve compiled a list of government cash grants even sole traders and non-employing businesses could be eligible for.
There are a number of grant and support systems in place to help businesses that haven’t previously benefited from the government’s $10,000 cash grant – namely, sole traders and businesses with no employees.
Owners in NSW can apply for up to $3,000 in government grants to help them get back on their feet, cover costs for safely reopening their shopfront, or scale up their operations. If you employ nil to 20 people in your business, this grant might be for you. According to the NSW Government, it can be used for:
The deadline to apply is 16 August and you can check your eligibility here.
If you’re a small-to-medium enterprise (SME) with a turnover of $50 million or less the SME Guarantee Scheme could provide a part-guarantee on new unsecured loans. Until 30 September 2020, loans are capped at $250,000 per borrower and can last up to three years. However, the government recently announced an extension to the scheme that will allow businesses to apply for up to $1 million from 1 October 2020 with an extended run-time of five years.
The end of the financial year was a cut-off point for a number of initial government grants. While JobKeeper and JobSeeker were recently extended, we will have to wait to see if any new federal government grants will be created to help business owners recover from the ongoing impact of the pandemic.
However, there are still a number of state-specific government grants that you could be eligible for, depending on where you’re based:
The challenging times are not yet over for Australian businesses but you don’t have to go it alone. These government cash grants may provide a helpful injection of funds when you need it most – and help you come out the other side with your business intact.
This article is a general overview and should be used as a guide only. We recommend that you seek independent professional advice about your specific circumstances before acting.