The Business Advisory Blog

The Business Advisory Blog

Insight, news and updates from Alliott NZ Chartered Accountants, Auckland New Zealand. The views expressed here are the views of the author and should be discussed in further detail should an article be relevant to your individual circumstances.

While every effort has been made to provide valuable, useful information in this publication, this firm and any related suppliers or associated companies accept no responsibility or any form of liability from reliance upon or use of its contents. Any suggestions should be considered carefully within your own particular circumstances, as they are intended as general information only.

Vanessa Williams
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COVID Support Payment

Yesterday the government announced a new COVID Support Payment for businesses.

7K0A0597-403Each COVID Support Payment will be $4,000 per business plus $400 per full-time employee, capped at 50 FTEs or $24,000. 
To qualify, applicants must show a 40 per cent drop in 7 consecutive days within the 6 weeks prior to the shift to Phase 2 of the Omicron response on 15 February 2022, compared to 7 days after that date.
It will be available on a fortnightly basis for 6 weeks, with 3 payments in total. The government has the option to extend after this date if they deem it necessary.
Applications for the first payment open on Monday 28 February 2022, with payments starting from 1 March 2022.

Small Business Cashflow Loans

Changes are also being made to the Small Business Cashflow Loans Scheme to increase the amount of funding available to eligible businesses through the introduction of a ‘top up’ loan.
The government has also agreed to remove the first 2 years of accrued base interest from all borrowers who have, or will, take out a loan under the scheme. This change will mean interest will only start accruing at the beginning of year 3.

Topics: cashflow coronavirus COVID-19 employees loans New Zealand small business support