NEW: We now have guidance from HM Treasury that the owner-manager of a business may continue to undertake statutory duties while they are furloughed. Full details here.
NEW: For a clear overview of all support available, who is eligible and what you have to do, see A Brief Guide to Support for Businesses and Self-Employed Affected by the Coronavirus Crisis
COVID-19: Latest Updates for Businesses
Coronavirus Business Interruption Loans (CIBLs)
- Small businesses can apply for up to £10,000 interest free for 12 months
- The loans will be rolled out from the British Business Bank to high-street banks. Businesses should apply to their own provider, preferably online
- In anticipation of the government backed loan scheme (CBILS), you might find it useful to read our notes on how to forecast your cash flow. As soon as we have a information about how to access this, we will be in touch.
Jobs Retention Scheme
- NEW: Clearly explained furloughing guidance from ICAEW
- Any business will be eligible for a grant to cover most of the wages for employees who are not working because of the coronavirus shutdown, but have not been laid off. This is called furloughing
- This will cover 80% of salaries up to a total of £2,500. Employers can top up salaries.
- The scheme will be back dated to 1st March, 2020 and will be open for 3 months initially.
- COVID-19:Guidance for Employees
In aid of cashflow support, HMRC will be deferring the next quarter of VAT payment. You’ll have until the end of the financial year (that’s 5 April 2021) to get it paid.
NB: the deferment is automatic but if you pay VAT by direct debit, you need to cancel the direct debit with your bank.
Grants linked to Rateable Value
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
Business Rates Holiday
A 12-month business rates holiday for all shops, pubs, theatres, music venues, restaurants and any other hospitality or leisure business.
Richmond Council have said they will not take enforcement action if residents are temporarily unable to pay their council tax. If that is your situation, contact your local council to come to an agreement.
Financial assistance for employers unable to pay statutory redundancy payments
The government has introduced extra protection for businesses with a ban on eviction for commercial tenants who miss rent payments. You must agree this with your landlord and you will still be expected to pay all rent due at a later date.
Mortgage Holidays, Extended Credit, Loan Breaks
Anyone affected by the coronavirus will be able to secure a 3 month mortgage break. But you must speak to your lender first.
In addition, many banks are emergency credit card increases, larger cash withdrawals etc to help customers make it through the coronavirus scare. Check with your bank to see what they can offer
NatWest Working Capital Support
NatWest has pledged £5bn support for SMEs during Coronavirus outbreak.
British Business Bank
British Business Bank have a shared a useful update on the Coronavirus Business Interruption Loan Scheme (CBILS).
COVID-19 Business Action Plan
If you haven’t done it already, now is the time to get your staff together to put together an action plan for your business to help you weather the on-coming storm. Here is a suggested agenda.
Cashflow Action Plan
We all feel like we have no control of this situation, but that’s not true. One of the best things you can do right now is assess your cashflow and make a plan for the coming weeks and months. You can find a template to create your cashflow action plan here. Of course, we can help you with this if you need that.
Ways to Pivot Your Business
This is an extremely difficult times for businesses and the self-employed. But we are hearing some stories that give us hope many of us can refocus our energies, if only temporarily. If you’re struggling to think of ways to pivot your business right now, this document might help.