Banks, Loans and Grants

Update 17 March 2020

Banks are said to be increasing credit lines and overdrafts, and in some cases they may even offer repayment holidays no loans. I’d also contact ALL of your credit suppliers to ask about relaxing payments.

Read more about banks and loans in the Government blog “Chancellor strengthens support on offer for business as first government-backed loans reach firms in need.”

Update 20 March 2020

The Chancellor has set out a package of temporary, timely and targeted measures to support public services, people and businesses through this period of disruption caused by COVID-19.

This includes a package of measures to support businesses including:

    • a Statutory Sick Pay relief package for SMEs
    • small business grant funding of £10,000 for all business in receipt of small business rate relief or rural rate relief
    • grant funding of £25,000 for retail, hospitality and leisure businesses with property with a rateable value between £15,000 and £51,000
    • help with rates in Scotland visit

https://www.mygov.scot/non-domestic-rates-coronavirus/

  • the Coronavirus Business Interruption Loan Scheme offering loans of up to £5 million for SMEs through the British Business Bank
  • a new lending facility from the Bank of England to help support liquidity among larger firms, helping them bridge coronavirus disruption to their cash flows through loans
  • the HMRC Time To Pay Scheme
Update 14 March 2020

Scottish Enterprise and partners have advised that from mid-morning on Thursday 14 May 2020 the Pivotal Enterprise Resilience Fund will reopen for new applications.

A pause had been in place since 5pm on Tuesday, 5 May to allow partners to review initial completed applications following an exceptionally high level of interest received from companies.

The additional £45million funding announced by the Scottish Government on Friday has been crucial to meet the demand there has been for this funding.

A spokesperson on behalf of partners said:

“We are continuing to work hard to process offers of grant applications so that all approved applicants can receive their funding as quickly as possible.
Alongside our partners, we continue to closely monitor the volume of new applications for the PERF and the £20 million Creative, Tourism & Hospitality Enterprises Hardship Fund.  We expect both funds to reach their full capacity in the coming days, therefore anticipate these closing at 5pm on Monday, 18 May.”
Scottish Enterprise, along with Highlands and Islands Enterprise and South of Scotland Enterprise, will continue to deliver these funds, with support from Creative Scotland and VisitScotland for the hardship fund.  Companies can apply at https://findbusinesssupport.gov.scot/, where full eligibility criteria for each fund is also provided.

I know some of you have already applied to PERF and the Creative Grant but if you haven’t now is a good opportunity to review whether you’re eligible and apply before Monday.

Update 1 May 2020

Three new grants for businesses impacted by coronavirus now available:

Details can be found –

https://findbusinesssupport.gov.scot/coronavirus-advice/sources-of-funding

Do you run a small business? Get vital financial support and apply for a loan of up to £50,000 or 25% of turnover, which will be guaranteed by the UK Government.It opens for applications on Monday 4 May (27 April 2020) The scheme has been designed to ensure that small firms, who need a vital cash injection to keep operating, can get finance in a matter of days: findbusinesssupport.gov.scot
If you need help applying for these new grants just get in touch.
Self Employed Hardship Fund
The purpose of this fund is to provide hardship relief in the form of a £2,000 grant from the Scottish Government to newly self-employed individuals who have not been able to access support through other schemes or have exhausted all other avenues for business support. It is open to those who became self-employed on or after 6 April 2019 and who were actively trading up to March 2020.
Apply here > https://www.aberdeencity.gov.uk/services/coronavirus-covid-19/self-employed-hardship-fund

Update 22 May 2020

This loan scheme offers eligible landlords up to 100% of lost rental income for a single property.

Available to Private Rent Sector landlords who:

  • Were, or had applied to become, registered before 01 February 2020
  •  Are not classified as businesses
  •  Have 5 or less properties available for rent
  • Have properties for rent are classed as being within the private rented sector (as per the terms of the 2006 Housing Scotland Act)
  • Have lost rental income as a result of tenants facing difficulty in paying rent as a result of the Covid-19 situation or where a rental property became vacant on or after 01 February 2020 and the landlord is unable to get a new tenant because of the restrictions currently in place.

Applications to this fund are open now. Further information including an online application can be accessed via the Scottish Government website.

Update 14 July 2020

Coronavirus Self-Employment Scheme

A few clients have been asking me about the self employment grant that you’ll be getting in August so I thought I’d send out an email.

Phase one of the Self-Employment Income Support Scheme comes to an end on 13 July, with the second stage of the scheme starting from 14 July. The online system will open for claims from 17 August. Claims under phase one must be made on or before 13 July. Even if you haven’t claimed under phase one, you can claim under phase two, but only if your business was adversely affected on or after 14 July 2020.The second phase covers 14 July until 19 October. This grant will be worth 70% of average monthly profits – capped at £6,570. As with the first grant HMRC will contact you if you’re eligible.

Who can claim

You can claim if you’re a self-employed individual or a member of a partnership and your business has been adversely affected on or after 14 July 2020.

Your business could be adversely affected by coronavirus if, for example:

  • you’re unable to work because you:
  • are shielding
  • are self-isolating
  • are on sick leave because of coronavirus
  • have caring responsibilities because of coronavirus
  • you’ve had to scale down, temporarily stop trading or incurred additional costs because:
  • your supply chain has been interrupted
  • you have fewer or no customers or clients
  • your staff are unable to come in to work
  • one or more of your contracts have been cancelled
  • you had to buy protective equipment so you could trade following social distancing rules

You must keep evidence to confirm your business was adversely affected at the time you made your claim.

All of the following must also apply:

  • you traded in the tax year 2018 to 2019 and submitted your Self Assessment tax return on or before 23 April 2020 for that year
  • you traded in the tax year 2019 to 2020
  • you intend to continue to trade in the tax year 2020 to 2021
  • you carry on a trade which has been adversely affected by coronavirus

You cannot claim the grant if you trade through a limited company or a trust.

To claim you’ll need your:

  • Government Gateway user ID and password – if you do not have a user ID, you can create one when you make your claim
  • UK bank details (only provide bank account details where a Bacs payment can be accepted) including:
  • bank account number
  • sort code
  • name on the account
  • your address linked to your bank account

Finally if you need to have a chat with me please contact me. I can do zoom calls, FaceTime or just the normal phone call. Don’t bury your head in the sand, talk to me, and stay safe.

07957581757
susan.crichton@sjcplus0.co.uk