Every little bit helps – here’s how you can get money from the government.
There is no doubt that times are tough for small businesses everywhere at the moment due to COVID-19, and will continue to be for a while. Social distancing and a possible national lockdown are keeping clients away from your spa, salon, or clinic, and cancellations are increasing. While this certainly means you will have to think outside the box to keep money coming in, there are also ways that the government can help you.
By announcing a $17.6 billion stimulus package last week, the government intends to help struggling small businesses with an annual turnover of less than $500 million through the COVID-19 crisis. Here, we break down what you can do to make use of the stimulus package:
- if you have apprentices on staff, the government will rebate 50% of their salaries (up to $21,000) for the next nine months
- casual employees may be eligible for income support payments
- you can get 50% of your PAYG payments back up to $25,000 on wages between Jan 1, 2020 and June 30, 2020
- instant asset write offs have been increased from $30,000 to $150,000 until June 30
- for assets worth more than $150,000, you can write off half and depreciate the rest
What this means for people in our industry is that this may be a good time for you to invest in new devices, given your cashflow allows it. Making use of all rebates and credits the government is offering at the moment may just be what your business needs to stay afloat and come out strong on the other side. For more detailed information, visit business.gov.au.
Australian Small Business and Family Enterprise Ombudsman Kate Carnell advises all small business owners to create a cashflow budget immediately to have a really good understanding of your incoming and outgoing money. Take a look at all of your costs and then talk to your suppliers to see if they can be flexible with payments, whether that means a discount or delayed payments – every little bit helps.
We want you to know that you are not alone in this, and by supporting each other, we can get through it. If you have any advice for fellow business owners, get in touch with us on firstname.lastname@example.org
It is highly likely that the government will announce a second stimulus package very soon, keep checking spaandclinic.com.au for the latest news.