Last Friday the NWS government announced it will put $750 million into a ‘Small Business Support Fund’. The fund was created to provide small businesses across the state struggling due to COVID-19 with $10,000 grants for “fast relief”, according to a press release.
This is part of the NSW’s third wave of financial support measures directed at keeping small businesses afloat during the COVID-19 outbreak and ongoing quarantine.
NSW Premier Gladys Berejiklian said “this is about getting cash into small businesses when they are struggling right now in the face of an unprecedented situation.”
According to Ms Berejiklian, the new fund was inspired by the bushfire relief scheme which provided $42 million to over 4,000 businesses within the first ten days of launching. She called the previous scheme “hugely successful”, noting how it administered immediate financial support to small businesses during the bushfire crisis last summer.
“These grants will provide a big boost, and we will make the application process easy to ensure small businesses can receive some cash-flow as soon as possible to meet pressing needs,” said Ms Berejiklian.
In particular, the NSW government noted a diverse array of small businesses which have been affected by COVID-19 and will be eligible to receive the $10,000, including restaurants, gyms, cafes and small hotels.
Treasurer Dominic Perrottet said, “we have the structures in place after the bushfires and expect to see this money rolling out the door shortly.”
“This is real, rapid relief for tens of thousands of businesses and it will help ensure many businesses that are not eligible for payroll tax waivers and deferrals can live to trade another day.”
According to the NSW government page, to be eligible for the $10,000 grant businesses will need to:
- Have between 1-19 employees and a turnover of more than $75,000;
- A payroll below the NSW Government 2019-20 payroll tax threshold of $900,000;
- Have an Australian Business Number as of 1 March 2020, be based in NSW and employ staff as at 1 March 2020;
- Be highly impacted by the Public Health (COVID-19 Restrictions on Gathering and Movement) Order 2020 issued on 30 March 2020;
- Use the funding for unavoidable business costs such as utilities, overheads, legal costs and financial advice;
- Provide appropriate documentation upon application.
