Government funding support to help businesses battle Coronavirus
18 March 2020
In light of recent events surrounding the financial impact Coronavirus is having on businesses, Government are providing measures of support through funding options. Check your eligibility to ensure you are safeguarding yourself, colleagues and business through these uncertain times. Below are the top 5 funding options recently announced.
- In response to those having to self-isolate, the Government has announced that it will refund the cost of up to 14 days statutory sick pay for businesses with less than 250 employees.
- Businesses in the retail, leisure and hospitality sector with a rateable value of up to £51,000 will not have to pay any business rates in the year 20-21 to help with the loss in demand.
- The Coronavirus Business Interruption Loan Scheme allows businesses who turnover less than £41 million to apply for a loan of up to £1.2 million, with the government covering up to 80% of any losses with no fees.
- Businesses who are already exempt from paying rates will be eligible for £3,000 grants to help meet business costs such as rent and bills.
- SME’s who can no longer pay their tax bills due to the crisis, can ask HMRC for a ‘time to pay’ agreement which will suspend tax collection with the annual 3.5% annual deferred rate waived. If you would like more information and advice on how businesses can survive this crisis, please see the Government website.
- Coronavirus Future Fund will issue convertible loans between £125,000 to £5 million to innovative companies facing financing difficulties due to Coronavirus.
- The chancellor has announced a micro loan scheme for smaller businesses. Businesses can apply for new Bounce Back loans up to a maximum of £50,000 or 25% of turnover, with the government paying the interest for the first 12 months.
- Companies House will temporarily pause the strike off process to prevent companies being dissolved. This will give businesses affected the time they need to update their records. In addition, companies issued with a late filing penalty due to the outbreak will have appeals treated sympathetically.