Categories: Business News

Hardship Grant

As part of the Level 2 COVID-19 Business Assistance Package, two tiers of support are available to small businesses who have experienced a decrease in turnover for any two week period since 1 January 2022.

The Level 2 COVID-19 Business Assistance Package – Small Business Hardship Grants Program is designed to provide financial support for businesses most impacted by Level 2 public health and social measures that came into effect on 3 March 2022.

Under an expanded program, two tiers of grants will now be available to businesses that experienced a decrease in turnover for a consecutive two-week period between 1 January and 30 April 2022:

A revised tier for businesses that experienced a decline in business turnover of 40 per cent (reduced from the original 50 per cent decline) or more.
A new tier for businesses that experienced a decline in business turnover of 30 per cent or more.

Hardship grant eligible applicants will receive a tiered grant payment, dependant on their reduction in turnover and the number of Full Time Equivalent (FTE) employees of the business. For the purpose of this calculation, the business owner is excluded from the FTE calculation. The following grant tiers are available:

Number of FTEs	New tier 30% decrease	Revised tier 40% turnover decrease
Non-employing (business owner, no additional employees)	$3,750	$5,000
Micro businesses (business owner, plus 1-5 employees)	$7,500	$10,000
Small businesses (business owner, plus 6-19 employees)	$15,000	$20,000
Medium businesses (business owner, plus 20+ employees)	$37,500	$50,000

Eligibility Criteria

To be eligible for the Small Business Hardship Grants Program, the applicant must meet all criteria listed below:

Verify their identity using MyGovID.
Hold a valid and active ABN for the period covered by their application.
Be currently trading in Western Australia and
- Have an annual turnover of more than $50,000, excluding GST.
- Have an Australia-wide annual payroll of less than $4 million.
Demonstrate a reduction in turnover for a consecutive two-week period between 1 January and 30 April 2022, compared to an equivalent period in the previous year.
- For the 40 per cent tier, a reduction of at least 40 per cent.
- For the 30 per cent tier, a reduction of at least 30 per cent
Provide evidence of the number of FTE or equivalent employees of their business.
Provide an unredacted PDF copy of their business bank statement showing 2022 transactions, a BSB, an account number and the business name associated with the application.
Agree to the program’s Terms and Conditions.

You may follow these Key Steps to lodge an application. Note that applications must be lodged by 4pm 30 June 2022 (AWST). Please contact Shakespeare Financial Group with any queries.

Tony Da Silva