More relief packages for businesses during COVID –19
In the latest round of relief packages to businesses on 30 March 2020, the Australian Government is providing $130 billion JobKeeper payment to eligible businesses. The wage subsidy to employees will see workers receive a flat payment of $1,500 per fortnight before tax through their employer.
As many businesses move into hibernation, particularly hospitality, accommodation, retail and beauty sectors, the relief will provide approximately 70 per cent of the national median wage in these sectors and assist help employers and employees stay connected in preference to the JobSeeker support.
It is expected the payment to employers will be for up to six months for any eligible employee that was employed from 1 March 2020 and remains connected and engaged by the employer.
Eligible businesses will be reimbursed during the first week of May from the Australian Taxation Office as monthly arrears. Where a business has stood down employees since 1 March, the payment will help them maintain connection with their employees.
Businesses experiencing a reduction in revenue of 30 per cent or more since 1 March 2020 over a minimum of one-month period, with an annual turnover of less than $1 billion who self-assess will be eligible. Employers with an annual turnover of $1 billion would be required to demonstrate a reduction in revenue of 50 per cent or more to be eligible. For more details on eligibility criteria visit www.ato.gov.au/ or www.treasury.gov.au/
Last updated : Tuesday 31 March 2020.
The JobKeeper payment applies to employers trading through companies, partnerships, trusts and sole traders, including self-employed individuals and not-for-profits and charities. The payment will apply to full-time and part time workers and casual employees who have been employed for at least the previous 12 months.
Personal income test for individuals on JobSeeker payments will still apply and are subject to a partner income test, however the Government is temporarily relaxing the partner income test. All relevant information can be sourced from www.ato.gov.au
To date, the Federal Government is supporting businesses with:
- JobKeeper payments
- Boosting cash flow for employers
- Temporary relief for financially distressed businesses
- Increasing the instant asset write-off
- Backing business investment
- Supporting apprentices and trainees
We understand conditions will continue to evolve and the City of Holdfast Bay continues to monitor and inform businesses and the community on the latest information available.
Council has in place the following support to assist businesses and will continue review possible stimulus or additional support in the weeks ahead.
Southern Business Mentoring Program
One-hour, one-on-one consultations, via electronic devices, with a business advisor at no cost until 30 June 2020.
Connection to specialised services and advice including:
- Strategic marketing
- Digital marketing
- Human resources, work health safety and workforce planning
- Innovation and transformation
- International trade and export
Click here for more information:Southern Business Mentoring Program
Adelaide Business Hub – Helpline
The Western Adelaide Alliances of Councils, including the Cities of Holdfast Bay, Port Adelaide Enfield, Charles Sturt and West Torrents in conjunction with the Adelaide Business Hub, have developed a Business Support helpline for small businesses.
With the current restrictions affecting thousands of businesses within Western Adelaide, the hotline has been developed as a first response support service for businesses.
The helpline is operated by the Adelaide Business Hub and will have two dedicated advisors highly qualified in finance and business resilience to respond to businesses that lodge their interest via the link below.
Businesses will be able to click a web link and fill in some basic details (business name, type of business and council area) and one of the consultants will call them back. This minimises businesses waiting on hold and will also assist to capture some base data on the businesses seeking assistance and the specialised area of information required.
The helpline will address any questions, but it’s expected many businesses will be requesting information on cash flow, staffing, dealing with supply issues and a lack of customers and income during shutdowns.
The consultants will also provide information on Federal and State Government support programs and referrals to other services where appropriate.
The consultants will also be sure to check on the callers’ welfare in response to the current financial constraints.
The helpline will run initially for 8 weeks. There will be fortnightly reviews of numbers and updates on support that businesses are seeking.
The hotline phone service commenced on Monday 30 March.
It is believed that this helpline is a proactive way that Western Adelaide Councils can support our small businesses in a timely way with advice and support in this difficult time.
The Australian Government is supporting Australian businesses to manage cash flow challenges and retain employees.
Information regarding the economic stimulus package for businesses is available at:
SMEs with an annual turnover of under $50 million and that employ staff are eligible for the Boosting Cash Flow for Employers Measure. This will provide up to $25,000 back to businesses with a minimum payment of $2,000.
The payment will be delivered by the ATO as a credit in the activity statement system from 28 April 2020 upon businesses lodging eligible upcoming activity statements.
For more information visit the business fact sheet
Instant Asset Write-Off
The Australian Government has increased the Instant Asset Write-Off from $30,000 to $150,000 and is available for businesses with an aggregated annual turnover of less than $500 million
For more information visit www.business.gov.au/riskmanagement
Backing Business Investment (BBI)
A time limited 15 month investment incentive to support business investment and economic growth by accelerating depreciation deductions. This applies to eligible assets acquired from 12 March 2020 and first used or installed by 30 June 2021. Businesses with an aggregated turnover below $500 million are eligible.
For more information visit www.business.gov.au/riskmanagement/emergencymanagament
Coronavirus SME Guarantee Scheme
The Australian Government will provide a guarantee of 50% to SME lenders for new unsecured loans to be used as working capital. SMEs with a turnover of up to $50 million will be eligible to receive these loans.
For more information visit www.business.gov.au/sme
If you have difficulties meeting your tax and super obligations due to Coronavirus you can contact the ATO emergency support infoline on 1800 806 218 or visit
Temporary relief for financially distressed businesses
To lessen the threat of actions that could unnecessarily push otherwise profitable and viable businesses into insolvency, the Australian Government is temporarily setting up a safety net which includes:
- Increasing the threshold at which creditors can issue a statutory demand on a company and the time companies have to respond to statutory demands they receive
- Increase the threshold for a creditor to initiate bankruptcy proceedings and the time period for debtors to respond to a bankruptcy notice
- Temporary relief for directors from any personal liability for trading while insolvent
- Temporary flexibility in the Corporations Act 2001 to provide targeted relief
For more information visit www.treasury.gov.au/temporaryreliefforfinanciallydistressed
- Provides SA businesses with a step by step process for development of a business continuity plan
- Covers the principles of business continuity planning that can be applied to any threat or disruptive event
- Designed for small to medium sized businesses
- Provides a template for communicating with staff about Coronavirus e.g. what it is, how it is spread, how to protect yourself and others
- Provides a Coronavirus external parties self-screening form & staff self-screening form
- Printable hand washing poster for businesses
- Working from home checklist
The COVID-19 Employer guide provides comprehensive information on
- Understanding the risks to your workplace
- Employer obligations
- Working from home
- Changing or scaling down operations
- Business shut down
- Discrimination and privacy
Business SA in partnership with the South Australian Small Business Commissioner has created a webinar designed to provide SMEs assistance in navigating the current coronavirus pandemic.
The webinar focuses on:
- What should business be currently doing?
- What stimulus and support is available from governments and other support networks?
- Responses to the most frequently asked questions being asked by Business SA’s members
Viewers will be able to ask questions at the end of the presentation
The webinar is scheduled for 6pm Wednesday 25 March.
Economic Development Australia
A comprehensive knowledge hub providing relevant funding links, resources, case studies and learnings from around the world and regularly updated on an ongoing basis.
Economic Recovery Australia
To help you keep businesses functioning with minimal disruption during these times of adversity, the Australian Information Industry Association (AIIA) in conjunction with some of its members and with the support of the Federal Government, has come together to provide a suite of free service offerings, advice and tools designed to support Australian business continuity through the use of technology.This support includes a range of remote communications, collaboration, workforce management and video conferencing solutions for business continuity that can be accessed on any device at any time anywhere.
Employee rights, entitlement and pay
Legal Services Commission of South Australia provides information on employment laws regarding employer and employee rights, entitlements and duties.
Available at: lawhandbook.sa.gov.au
From midnight on Wednesday 25 March 2020 Stage 2 restrictions apply to the following activities and businesses:
- Amusement parks and arcades.
- Indoor and outdoor play centres.
- Community and recreation centres, health clubs, fitness centres, yoga, barre, spin facilities, saunas, wellness centres.
- Public swimming pools.
- Galleries, museums, national institutions, historic sites, libraries, community centres.
- Auction houses.
- Real estate auctions and open house inspections.
- In-store beauty therapy, tanning, waxing, nail salons and tattoo parlours, spa and massage parlours (excluding allied-health-related services, like physiotherapy).
- Food courts within shopping centres will only be able to sell takeaway. (Shopping centres themselves will remain open).
From midday on Monday 23 March 2020, Stage 1 restrictions came into place for places of social gathering.
The following facilities are restricted from opening:
- Pubs, registered and licensed clubs (excluding bottle shops attached to these venues) and hotels (excluding accommodation).
- Gyms and indoor sporting venues.
- Cinemas, entertainment venues, casinos and night clubs.
- Restaurants and cafes restricted to takeaway and/or home delivery.
- Religious gatherings, places of worship or funerals (in enclosed spaces and other than very small groups and where the 1 person per 4 square metre rule applies).