fbpx
post 24 gov historical-buildings

Today’s Government Announcement

Today’s Announcement

So whilst we would usually wait until a little more detail is released, we thought we would share what we know already as we appreciate the urgency with which some people need some clarification.

As we find out more we will release a further update so watch out for any further updates in your mailbox.

The highlights are as follows:

  1. The current furlough scheme will be replaced by a new jobs support scheme as of November and will run for 6 months.  Broadly speaking current guidance is suggesting that employees must work at least a third of their normal hours, the Government subsidising a third leaving the remaining third unpaid.  Further guidance will follow around this.
  2. The self-employed grant will be extended but the exact terms of this are yet to be clarified.
  3. The deadline for applying for either a bounce back loan or coronavirus business interruption loans has been extended to 30 November 2020.
  4. Greater flexibility around bounce back loans including the possible opportunity to extend the term over which repayments are made.
  5. For those struggling with bounce back loan repayments there will be the option to potentially take a payment holiday for up to six months and make interest only repayments.  Again we expect more detail to be released around this and restrictions around those who can take advantage.
  6. VAT will remain at 5% for hospitality and tourism until 31 March 2021.

Cash flow support

Whilst we are uncertain as to what additional support there may or may not be from the Government we can realistically expect greater difficulty when it comes to collecting debt.

We have subsequently established a creditors services alongside an independent third party offering to support businesses in need that will not only do some digging around amounts you are concerned about receiving but will also chase these for you.

This initial exercise is absolutely free and from the cases we have seen so far; as this is handled externally to ourselves, a client recently received over £3,000 that they have previously written off and it cost them little more than £200 that was only taken upon successful collection of the debt.

If this is a concern for you, have any queries and/or just wish to discuss this further register your interest by e-mailing us at funding@gtaccountants.com

Group Event (Virtual I’m afraid)

Whilst we did initially hope some time soon we could commence face to face meetings and have this event as being a physical one we have had to think again but we won’t let it hold us back entirely.

In addition to the online community platform that we have established with Futrli Peer and for which you can access for no charge through this link here to chat with other business owners and get some tips, we are also doing more.

We as a firm will be the lead for Enterprise Nation where we bring business owners together through Zoom but this will be a great opportunity to just let off some steam and take away some great content and advice.

There is no charge for attending and the first virtual event is on 1 October from midday for an hour so if this of interest then why not book through the link here.

Going forward we are hoping to make this a monthly event and get some guest speakers along with hopefully some special offers from partners.  We will also keep those who attend aware of funding pots as these are shared with us in addition to sharing these with you by way of our newsletters.

External Virtual Client Events

In addition to our event being held on the 1 October we are delighted to share and invite you all to two further events that are detailed below:

Friday 9 October at 2pm
Is your business your pension?
To book click here

Thursday 8 October at 3pm
Why financial planning is important
To book click here

These are events are kindly being ran by our partners at St James’s Place so please feel free to book on directly or if you have any queries regarding either of these events then please just let us know again using the funding@gtaccountants.com e-mail address.

post update

Government Support. Recovery SME Grant (UPDATE)

Not surprisingly, the opening of the application process for this funding led to a crashing of the website on Tuesday of last week.

There has now been an update released saying that your ability to access this funding will in part be determined by ballot with the timing of these ballots varying from one local authority to another.

For your area feel free to follow this link here and make a note in your diary so you don’t miss the window as there is little room for manoeuvre.

post 21 sept grant

Government Support – Recovery SME Grant

You may have already seen our posts regarding this but if not the Government has made £20m of funding available to boost small businesses recovery from the Coronavirus pandemic.

How much is the Recovery Grant?

It is funded by the European Regional Development Fund (ERDF). The eligible SMEs can access grants of between £1,000 – £3,000 (up to £5,000 in exceptional circumstances) for specialist advice.

There is no obligation for businesses to contribute financially as the grant is fully funded.

First come, first served

Given the current state of the economy, the scheme is guaranteed to be very popular. Therefore, funding is extremely limited.

Expressions of interest (EoI) should be made as soon as possible after the scheme opens.

There is no waiting list so decisions will be made on a first come, first served basis.

The gateway diagnostic will close when the expression of interest (Eol) limit has been reached.

Each Local Enterprise Partnership (LEP) area has different guidance, start and closure dates. You can find your local LEP details here.

If successful, how long will the business have to wait to receive the grant?

Grant payments will not be made until up to 10 weeks after the purchase of the item or service the business has paid and claimed for.

The business will be paid upon production of an invoice for the service.

The details

Who is eligible for this grant?

Though this might vary from one hub to another many state that to be eligible for this grant you:

  • Must be an SME (including third sector organisations, social enterprises and trading charities) based in Berkshire.
  • Needs to have been negatively impacted by COVID-19.
  • Must have the ability to survive following the impact of COVID-19.
  • Staff headcount must be below 250 FTE. Businesses with more than 250 employees will not be eligible.
  • Must have a balance sheet of below €43million.
  • Must have a turnover of below €50million.
  • If the business has received state aid in the last 3 years the total should not be in excess of €200,000. Businesses exceeding this level of state aid funding will not be eligible.

What expenditure is eligible?

The grant is available to help SMEs access one-to-one specialist advice to address their immediate needs. The grant must cover 100% of the cost of the service or product and cannot be used to part-fund expenditure.

Examples of eligible expenditure that you could potentially provide them yourselves:

  • Review of the business strategy, including strategic and business plans (using Clarity)
  • Coaching and mentoring in leadership and management development / Change management
  • The introduction of new technology – apps to help with forecasting, cashflow and budgeting, for example
  • Developing or revising marketing/digital strategies to reach new markets
  • Rebuilding a viable business model
  • Skills analysis and development plans
  • Employee engagement, welfare and wellbeing

Please note these are examples only and not an exhaustive list.

What will they need for their expression of interest (EoI)?

Each LEP has their own guidance, start and close date so please follow the link above for specific details and contact your local hub directly if you have any queries. We know that some hubs are opening on 15 September so we suggest you act fast if this of interest. 

How will businesses be assessed?

Key eligibility checks will also take the following into account:

  • Their potential to respond/adapt/strengthen from the impact of COVID-19
  • The ability to identify opportunities to rebuild following the impact of COVID-19
  • The ability to deliver within the timescales available (one month)

Due to the high volume of EoIs expected, it may take up to 10 working days for full application forms to be sent. LEP or Growth Hub staff will not be able to provide an update on the status of your application.

post 11 may self

Self-Employment Grant Update

So, based on current guidance, the portal will start to go live for some clients as of Wednesday but there are still several things unknown but we thought we would tell what we; and you, should expect:

  • Some people are now receiving text messages to set up their personal government gateway ID’s with HMRC.  We recommend you do this, but either register through your web browser or if already registered, then only log back in through your web browser to reduce the risk of fraud.
  • If you are unsure as to whether you have an account, just try registering just in case and if there is an error warning then contact our office and we may be able to assist or point you in the direction of where you go with HMRC.  Please try registering first though to avoid a deluge of calls to the office.
  • You personally must make the claim using this personal Government Gateway ID and we will not in any circumstances be able to make this claim on your behalf as these claims are meant to be made by the claimant and cannot be made through our firm portal based on the most recent guidance.
  • We are told that it is a ‘simple form’ and we expect/hope that HMRC use the information they already have access to calculate what you are due; this is our interpretation though, so we are not expecting to manually have to make any such calculations which should speed up the process and make it more efficient all round.

Naturally all of the above is subject to change but we will keep an eye on this and notify you of any changes as and when we receive them ourselves.