We are getting a huge amount of questions in regards to apply for this $10,000.00 payment please see below which will help answer some of your questions. If you do need additional details please do not hesitate to call us.
Below are FAQs relating to the Victorian Government’s Business Support Fund.
Why has the Victorian Government launched this fund?
- The Victorian Government has launched the $500 million Business Support Fund to support small businesses in the sectors hit hardest by the coronavirus (COVID-19) pandemic so they can survive and keep people in work.
- The fund is part of the Victorian Government’s $1.7 billion Economic Survival Package which is supporting businesses and workers through the devastating impacts of the coronavirus (COVID-19) pandemic.
When do applications open and close?
- Applications open on Monday 30 March 2020 and close on Monday 1 June 2020.
- Businesses that have already expressed interest will be contacted by email with a link to apply.
What businesses are eligible to apply for grants under the Business Support Fund?
Businesses can apply if they:
- Employ staff
- Have been subject to closure or is highly impacted by shutdown restrictions announced by the Victorian Government to-date. For more information on affected sectors refer to https://www.dhhs.vic.gov.au/sites/default/files/documents/202003/Non-Essential-Activity-Directions-No-2.pdfExternal link (opens in same window)
- Have a turnover of more than $75,000
- Have payroll of less than $650,000
- Hold an Australian Business Number (ABN) and have held that ABN at 16 March 2020 (date of the State of Emergency declaration)
- Have been engaged in carrying out the operation of the business in the Australian State of Victoria on 16 March 2020.
What sectors are eligible for grants?
The Business Support Fund is for small businesses that employ staff and are subject to closure or are highly impacted by the shutdown restrictions announced by the Victorian Government as a result of the coronavirus (COVID-19).
A current list of sectors impacted by the shutdown restrictions is available at https://www.dhhs.vic.gov.au/sites/default/files/documents/202003/Non-Essential-Activity-Directions-No-2.pdf External link (opens in same window).
Why are applications only open to businesses with an annual wage bill of less than $650,000 a year?
The fund is targeted at small businesses that may not be eligible for 2019-20 refunds and waiving of payroll tax, which applies to businesses with wages bills of $650,000 or above.
Businesses with a wages bill between $650,000 and $3 million will have their payroll tax refunded and waived for the 2019-20 financial year under the Victorian Government’s $1.7 billion economic survival package.
Why are applications only open to businesses with an annual turnover of more than $75,000?
Businesses with a turnover below this level are likely to be sole traders that do not employ people. $75,000 is also the threshold for when the Australian Taxation Office requires a business to register for GST External link (opens in same window).
If your business is not eligible for this funding you may still be eligible for other support in the Victorian Government’s Economic Survival Package or those provided by the Commonwealth Government or your local council.
What other Victorian Government support is available for businesses and workers impacted by the coronavirus (COVID-19) pandemic?
- The Victorian Government has announced a $1.7 billion Economic Survival Package to support businesses and workers affected by the COVID-19 outbreak.
In addition to the Business Support Fund, the package also provides:
- Full payroll tax refunds and waivers for the 2019-20 financial year to small and medium-sized businesses with payroll of less than $3 million, which can also defer payroll tax for the first three months of the 2020/21 financial year until 1 January 2021
- Waiving of liquor licensing fees for 2020
- Land tax deferral for landowners that have at least one non-residential property and total taxable landholdings below $1 million
- Fast tracking outstanding supplier invoices to within five business days and future invoices within 10 days
- Rent holiday for commercial tenants in government buildings for 2020.
Download the Economic Survival Program fact sheet for information on how to access the above initiatives.
What Commonwealth Government support is available for businesses and workers impacted by the coronavirus (COVID-19) pandemic?
The Victorian Government’s Economic Survival Package complements the Commonwealth Government’s economic response to the COVID-19 pandemic, which includes:
- Boosting cash flow for employers
- Temporary relief for financially distressed businesses
- Increasing the instant asset write-off
- Backing business investment
- Supporting apprentices and trainees
- Support for Coronavirus-affected regions and communities
Information about the Commonwealth Government’s economic response is available at https://treasury.gov.au/coronavirus External link (opens in same window).
Can I access the Business Support Fund if I am a non-employing business?
The Business Support Fund is open to businesses that have employed staff during 2019-20. If your business has had to let staff go as a result of closure or being highly impacted by shutdown restrictions announced by the Victorian Government to-date, you still may be eligible to apply for this grant.
If your business is a non-employing business during 2019-2020 you can seek support through the Commonwealth Government’s JobSeeker Payment Program External link (opens in same window).
How much can my business apply for under the Business Support Fund?
Businesses can apply for a one-off grant of $10,000.
My business has been impacted by the coronavirus (COVID-19) pandemic, but it is not on the list of affected businesses. Can I still apply?
You can still apply if you meet all the other eligibility criteria and consider that the shutdown restrictions have highly impacted on your business. Your application will be assessed against the guidelines.
If I am a successful applicant, are there restrictions on what I can spend the funds on?
It is expected that funds can be spent on business activities and costs, including:
- Utilities, salaries and rent
- Seeking financial, legal or other advice to support business continuity planning
- Developing the business through marketing and communications activities
- Other supporting activities related to the operation of the business.
What is meant by going concern?
Going concern means a business where an owner is still in control of the business, not in liqudation, administration or receivership and where the owner has the intent of reopening the business once shutdown restrictions are lifted.