Make the most of Government funding support before it’s too late, including the Coronavirus Job Retention Scheme Bonus.
If your business has been affected by the pandemic, there is still time to apply for government funding to help your company get back on its feet. However, be quick as deadlines to make applications are fast approaching. Furthermore, if you’ve utilised the Coronavirus Job Retention Scheme (CJRS) to furlough workers, then you could be eligible for a £1,000 bonus per employee if you’re able to keep them in employment until at least 31st January 2021 after the CJRS ends on 31st October 2020. Read on below to find out more.
Don’t miss out on government backed loans
- Coronavirus Business Interruption Loan Scheme (CBILS) - If your business has fewer than 50 employees and less than £9,000,000 in annual turnover, recent changes to EU State Aid law has resulted in the British Business Bank revising the eligibility criteria relating to the ‘undertaking in difficulty’ test, so you might now be considered. The deadline for businesses to apply for a CBILS loan is midnight on 30th September 2020. Originally there was going to be a hard close on that day but now the approved lenders have until 30 November 2020 to process applications that are with them by 30 September 2020. Applications received after this date will not be eligible for CBILS funding. You can find out more on the Gov.uk website.
- Bounce Back Loan Scheme (BBLS) - For smaller state-backed business loans between £2,000 and £50,000 for businesses established before 1st March 2020 that have been affected by Coronavirus, the Bounce Back Loan Scheme (BBLS) may be suitable. The deadline to apply is 4th November 2020. Visit Gov.uk to find out more.
Job Retention Scheme Bonus
Details of the Coronavirus Job Retention Scheme (CJRS) Bonus have been announced by the government whereby any employer that has made a genuine claim from the CJRS, will be eligible for a £1,000 one-off payment per previously-furloughed employee, if they are retained in employment after the CJRS ends on 31st October, until at least 31st January 2021. The rules state that employees must meet the following criteria:
- they were furloughed and had a CJRS claim submitted for them that meets all relevant eligibility criteria for the scheme
- they have been continuously employed by the relevant employer from the time of the employer’s most recent claim for that employee until at least 31 January 2021
- they have been paid an average of at least £520 a month between 1 November 2020 and 31 January 2021 (a total of at least £1,560 across the 3 months). The employee does not have to be paid £520 in each month, but they must have received some earnings in each of the three calendar months that have been paid and reported to HMRC via Real Time Information (RTI) (therefore the employee must have up-to-date RTI records for the period to the end of January)
- they are not serving a contractual or statutory notice period, that started before 1 February 2021, for the employer making a claim.
New grants announced for businesses
With Coronavirus cases on the rise that could result in potential local lockdowns, the Government has announced further funding that could help businesses:
- Local Lockdown Grant - Businesses in England required to close due to local lockdowns or targeted restrictions will now be able to receive grants worth up to £1,500 every three weeks. To be eligible for the grant, a business must have been required to close due to local Covid 19 restrictions. The largest businesses will receive £1,500 every three weeks they are required to close. Smaller businesses will receive £1,000. Find out more here.
- Back on Track Grant - Small businesses are now able to claim for grants of between £1,000 and £5,000 to pay for services from accountants, lawyers or other advice to get them back on track, as well as to pay towards new technology and equipment they need to adapt, recover and rebuild. The grants can be claimed from your local Growth Hub, however demand has already been high so express your interest as soon as possible. Click here for further information and to find your regional Growth Hub.
- Are you a Cheshire or Warrington based business? You could be eligible for additional funding (not related to Coronavirus) via Blue Orchid. Click on the following links to see if you qualify and to apply:
Support with funding applications
At LWA, we’ve successfully helped many of our clients to determine their eligibility for government support, as well as assist in their loan applications and make CJRS furlough claims on their behalf. We hope that the above information helps you to understand the different support available for your business, however if you need further guidance, please contact a member of our team in our South Manchester office on 0161 905 1801 or in Warrington on 01925 830 830, who will be happy to help.
Furthermore, LWA have been recognised as Certified Advisors with financial prediction software provider Futrli. If you use Xero (for which we are a Gold Partner), we can connect the software to help your business with forecasting, speeding up the process into just a few hours. Contact our in-house expert, Matt Jones, on 0161 905 1801 or email firstname.lastname@example.org to find out more.