Posts

Recovery Loan Scheme

/in , , , , , , , /by

Recovery Loan Scheme

The Bounce Back Loan Scheme (BBLS) application entries terminated on 31/03/2021 and now the government has introduced the Recovery Loan Scheme to finance UK businesses as they grow and recover from the disruption of the COVID-19 pandemic.

The government guarantees 80% of the finance to the lenders, meaning the necessity of credit checks on the business are negated, but as the borrower, you are still 100% liable for the debt.

Loans are available through a network of accredited lenders, listed on the British Business Bank’s website.

You can apply for a loan if your business:

  • is trading in the UK
  • would be viable were it not for the pandemic
  • has been adversely impacted by the pandemic
  • is not in collective insolvency proceedings

Loans or overdrafts between £25,001 – £10M can be applied for (for up to 3-year period) and the APR will be dependent on the duration, but the typical APR on a £25K loan over 36-months is 7.7% bringing the value of the loan to £28,435.

Or you can apply for asset financing between £1,000 and £10M per business over a maximum of 6 years.

You can apply for the Recovery Loan Scheme directly from your bank and the scheme is open till 31 December 2021.

More information can be found HERE.

Restart Grant NOW Available to Eligible Businesses

/in , , , , /by

Restart Grant NOW Available to Eligible Businesses

The Restart Grant scheme supports businesses in reopening safely as COVID-19 restrictions are lifted. Grants are available from 1 April 2021.

To be eligible, your business must be in the non-essential retail sector and you may be entitled to a one-off cash grant of up to £6,000 from your local borough.

Eligible businesses in the hospitality, accommodation, leisure, personal care and gym sectors may be entitled to a one-off cash grant of up to £18,000 from their local borough.

Your business must be:

  • based in England
  • business rate-payer
  • in the non-essential retail, hospitality, accommodation, leisure, personal care or gym sectors
  • opening ‘shop’ and trading as of 1 April 2021

Your council should have contacted you about the one-off grant payment, but if you believe you are eligible but have not heard form them, then please do not hesitate to give them a call.

4th SEISS Grant Available THIS Week

/in , , , , , , , , , , , , /by

4th SEISS Grant Available THIS Week

If you are self-employed or a member of a partnership and have been impacted by coronavirus (COVID-19), the 4th Self-Employment Income Support Scheme (SEISS) grant will be available to those eligible from this week (w/c 19 April 2021), and the online service for the fourth SEISS grant is now online HERE

The grant covers the period from 01/02/2021 – 30/04/2021 and eligibility for the fourth grant is dependent on you having traded for both tax years:

  • 2019 to 2020 and submitted your tax return on or before 2 March 2021
  • 2020 to 2021

You must either:

  • be currently trading but are impacted by reduced demand due to coronavirus
  • have been trading but are temporarily unable to do so due to coronavirus
  • intend to continue to trade
  • reasonably believe there will be a significant reduction in your trading profits

The same criteria that were applied for the first 3 SEISS grants still apply & this grant will be 80% of your average trading profits for up to 4 tax years (2016/17, 2017/18, 2018/19, & 2019/20) for 3-months.

The closing date for the 4th SEISS Grant is 01 June 2021.

By now you should have received an email form HMRC stating when you can claim your 4th SEISS grant from.  If you need any assistance with your claim, please do not hesitate to contact us on 020 8761 8000 or email/message us here.

Furlough Scheme Extended until End of September

/in , , , , , , , , , , /by

Furlough Scheme Extended until End of September

In The Chancellor’s 2021 budget speech it was announced that the furlough scheme would be extended until the end of September 2021, to protect the jobs and livelihoods of the UK population during the pandemic.

The Government will pay employees 80% of the hours not worked through to the end of June 2021.  As the country opens up it will then offer 70% with the employer to contribute the other 10%, then in August through to the end of September they will ask the employer to pay 20% while the Government covers the remaining 60%, so the employee continues to receive the 80% of their income for the hours not worked.

If you or your business need help setting up a payroll and help with the furlough scheme, then please do not hesitate to contact us on 020 8761 8000.

Bounce Back Loan Applications & Top-Ups ENDING

/in , , , , , , /by

Bounce Back Loan Scheme: applications & top-ups deadline (31 March 2021)

Applications for the Bounce Back Loan Scheme (BBLS) come to a close on 31st March 2021.

The purpose of the scheme was to allow small businesses, regardless whether they were sole traders, partnerships, or limited companies, a way of getting a cash flow worth 25% of their turnover (within the range of £2-£50k) to support them during the pandemic.  This is a great way to get a cash injection with a very small interest repayment (2.5% over 6-years, where the Government will pay the first 12 month’s interest on your behalf).

The deadline for Bounce Back Loan applications is Wednesday 31st March 2021.  If you have not applied for the BBLS and need money to pay tax debts or to get your business moving again, then we recommend you make an application directly with your bank before time runs out.

If you have already taken out a BBLS, you can apply for a top-up to their existing Bounce Back Loan if you originally borrowed less than the maximum amount available to you.  The top-ups are only available from your existing BBLS lender & you can apply for the lesser of £50k or 25% of the annual turnover the borrower certified in their original successful BBLS application form, minus the value of the original loan given to you.

If you need any assistance with your application then please do not hesitate to contact us on 020 8761 8000.

SEISS Grant 4 – News Coming Soon!

SEISS Grant 4 – News Coming Soon!

/in , , , , , , , , , /by

Money Saving Expert founder Martin Lewis has announced¹ exclusive news about a possible 4th SEISS Grant for self-employed people. The Self-Employment Income Support Scheme (SEISS) offers direct financial support from the Government for those self-employed people who have seen a significant drop in profits due to the coronavirus pandemic, where eligible. He says the official announcement is currently scheduled for 3rd March 2021 during the Chancellor of the Exchequer’s Spring Budget.

Applications for the current 3rd SEISS grant closed on the 29th of January. The fourth SEISS grant period will cover the months February, March and April. Martin’s exclusive information suggests:

“… there will not be an announcement made on the amount of that grant and who is eligible […] until the budget, which is on the third of March. So over a month after the grant period starts, there won’t be news on exactly how much money you can get, and who is going to get it.”

He goes on to say:

“I doubt this actually means that people will receive their money any later, relatively, than they have done in the prior grants, because you’ve never been able to apply on the first day of the period”

Martin goes on to confirm that he suspects Read more

Job Support Scheme Replaces the Job Retention Scheme from 1st November 2020

/in , , , , , , , , , , /by

The Job Support Scheme for employees starts 1 November 2020

The Job Retention Scheme (JRS) winds down at the end of October. It will be followed, for the next six months, by a new job support scheme, which subsidises the wages of employees working at least a third of their normal hours, to further support viable UK employers who face lower demands due to COVID-19.

In an attempt to keep employees attached to the workforce, the Government will be introducing a new Job Support Scheme from 1 November 2020, where employees will need to work a minimum of 33% of their usual hours.

For every hour not worked the employer and the Government will each pay one third of the employee’s usual pay. The government contribution will be capped at £697.92 per month.

Employees using the scheme will receive at least 77% of their pay (where the Government contribution has not been capped) & the employer will be reimbursed in arrears for the government contribution. The employee must not be on a redundancy notice.

The scheme will run for six months from 1 November 2020 and is open to all employers with a UK bank account and a UK PAYE scheme.

All Small and Medium-Sized Enterprises (SMEs) will be eligible. Large businesses will be required to demonstrate that Read more