Message to Client 3 – Hoops and grief – but it may be for you19.10.2021
We are always reluctant about talking about Government-assisted loans because
- There are more hoops than you can imagine jumping through.
- The application raises hope, and remember this isn’t like the stimulus package; you still must get through the finance company and
- In the end, for every $1,000 you borrowed, you had a $1,000 worth of grief.
- Could the money be found with better management of money in your business?
Some clients need and could use these loans, and we will assist you through the process.
Here is the basic information
The Government’s SME Recovery Loan Scheme (the Scheme) is designed to support the economic recovery and provide continued assistance to SMEs dealing with the economic impacts of the coronavirus crisis.
In recognition of the continued economic impacts of the Coronavirus Pandemic, the Government announced that the SME Recovery Loan Scheme would be expanded to provide support to SMEs adversely economically affected by the Coronavirus Pandemic. The Amended Scheme Rules were published on 17 September 2021 and will affect the Scheme Expansion date (1 October 2021).
The Scheme is enhancing lenders’ abilities to provide cheaper credit to otherwise viable SMEs for additional funding to get through the Coronavirus crisis, recover and invest for the future. The Government will work with lenders to ensure eligible firms have access to finance to maintain and grow their businesses.
The SME Recovery Loan Scheme builds on earlier loan schemes introduced during COVID-19.
Loans are available from 1 April 2021 until 31 December 2021
The Scheme is open to small and medium-sized businesses with up to $250 million turnovers, including self-employed and non-profits. So far, the Scheme has been available to eligible SMEs that were:
- the recipient of a JobKeeper payment between 4 January 2021 and 28 March 2021.
Note: a JobKeeper Scheme-Backed Loan can only be approved under this eligibility prior to the Scheme Expansion date (1 October 2021);
- affected by the floods in eligible Local Government Areas in March 2021; or
- adversely economically affected by COVI-19. Note: a Covid Scheme-Backed Loan can be approved under this eligibility from the Scheme Expansion Date (1 October 2021).
If you want to look at one of these, contact your client coordinator to discuss and then assist you.