The COVID-19 pandemic is impacting nearly every aspect of all our lives and will be remembered as a pivotal time in history. There has been some talk this week of how we are going to move forward and get out of the lockdown safely, I am looking forward to hearing these plans in the coming weeks.
Government Support and Updates
The key thing announced this week by the government is a “Bounce Back” loan scheme for small businesses.
Business Bounce Back Loans
This is what we know so far:
- They should be available from Monday 4th May 2020.
- The scheme will help small and medium-sized businesses to borrow between £2,000 and £50,000.
- The amount you can borrow is limited to 25% of your annual turnover.
- The loans will be available to businesses that have been negatively affected by coronavirus and was not an ‘undertaking in difficulty’ on 31 December 2019.
- The government will guarantee 100% of the loan and there will not be any fees or interest to pay for the first 12 months.
- The Loan terms will be up to 6 years.
- There will be no repayments will be due during the first 12 months.
- The government has worked with lenders to agree a low rate of interest for the remaining period of the loan.
- period of the loan.
You can read more on ‘Bounce Back’ loan support here. The government will be making more information available in the next few days or you can find out more details if your usual business bank is offering these loans by visiting your business bank website.
If you would like to discuss applying for this loan or any other funding, please contact us.
Self-Employment Income Support Scheme
Many people who are struggling with the effect of Covid-19 are eagerly awaiting the support promised for the Self Employed. We are expecting the HMRC to contact all Self Employed people who are eligible for support by the middle of this month.
Further details of the Self Employment Income Support Scheme can be found here.
Coronavirus Job Retention Scheme
The CJRS opened on the 20th April 2020. I have already processed many claims and received grants for clients who have found themselves having to furlough their staff.
If you have any questions regarding the CJRS scheme as an employer or employee, please let me know.
Have you found ways to adapt your business?
I have been helping several of my clients who are finding ways to adapt during the current situation. Many have made changes to their offerings and how they are providing their services. Such as moving your business online, or offering delivery or click and collect services.
Now maybe the time to think about your plan for when you can reopen. We don’t know whether this will be in a few weeks or months, whenever it is a plan for getting back up and running could be invaluable.
I would be more than happy to chat with you about this, please get in touch if you think this would be helpful.
If you have any questions or concerns, do not hesitate to reach out to me. We are all in this together!