NSW Lockdown Support for Businesses

The previously announced small business grants have been increased to up to $15,000 and expanded the eligible businesses (including not-for-profits and sole traders) with annual wages of up to $10 million.

The value of the grant is determined by the impact of the lockdown on your turnover. Your business will need to prove a decline in turnover across a minimum 2 week period after the commencement of the major restrictions.

How to Apply

Applications are made online through ServiceNSW. Applications close at 11:59pm on 13 September 2021.

Eligibility

The 2021 COVID-19 business grant is available if you:

• Have an active ABN; and
• Can demonstrate that your business was operating in NSW as at 1 June 2021; and
• Have had total annual Australian wages of $10m or less as at 1 July 2020; and
• Have had an aggregated annual turnover between $75,000 and $50m (inclusive) for the year ended 30 June 2020; and
• Have business costs for which there is no other government support available; and
• Maintain employee headcount as at 13 July 2021; and
• Have experienced a decline in turnover of at least 30% over a minimum 2-week period from 26 June 2021 to 26 July 2021, compared to the same period in 2019.

Businesses that are not able to meet all the eligibility criteria can still potentially qualify for the grant, but will need to contact ServiceNSW to discuss the situation before applying.

Businesses and not-for-profit organisations on the NSW border with Victoria impacted by the lockdown orders that began on 27 May 2021 may use a different comparison period to demonstrate a decline in turnover. For each of the 3 grant amounts, these businesses must demonstrate a decline in turnover over a minimum 2-week period from 27 May 2021 to 26 July 2021.

Non-employing businesses are not eligible to apply if persons associated with the business, and who derive income from it, have applied for, or are receiving, the Commonwealth COVID-19 Disaster Payment.

How Funding May Be Used

The Grant will help eligible businesses and not-for-profit organisations with business costs incurred from 1 June 2021 to 17 July 2021 (the JobSaver scheme will commence from 18 July 2021). These costs may include, but are not limited to, the following expenses:

• utilities, wages and rent;
• financial, legal or other advice to support business continuity planning;
• marketing and communications activities to develop the business;
• the cost of perishable goods that can no longer be used; or
• other activities to support the operation of the business.

The Grant must only be used for expenses for which no other government support is available. For example, the Grant cannot be used to pay government fees and charges that would be covered by the $1500 small business fees and charges rebate.

A cash flow payment between a minimum of $1,500 and maximum of $10,000 per week based on 40% of the NSW payroll payments of your business (including not-for-profits).

Businesses without employees that meet the eligibility criteria such as sole traders, will be able to access a payment of $1,000 per week.

The cash flow support will cease when lockdown restrictions are eased or when the Commonwealth hotspot declaration is removed.

The cash flow support payments will be made weekly.

How to apply

Applications for the cash flow support have not yet opened but you can register your interest through ServiceNSW.

Eligibility

• Annual turnover between $75,000 and $50 million
• Demonstrate a 30% or more decline in turnover
• Maintain your full time, part time and long term casual staffing level as of 13 July 2021
• Impacted by the current Greater Sydney COVID-19 restrictions

A new grant for micro businesses (including sole traders) providing $1,500 per fortnight while lockdown restrictions apply. The grants are available from week one of the lockdown until restrictions are eased.

How to apply

Applications for the cash flow support have not yet opened but you can register your interest through ServiceNSW.

Eligibility

• Annual turnover of more than $30,000 and less than $75,000
• Demonstrate a 30% or more decline in turnover
• The business provides the primary income source for a person associated with the business
• Impacted by the current Greater Sydney COVID-19 restrictions

Commercial and retail rent protections will be reinstituted.

Eviction moratorium

Legislative amendments will be introduced shortly providing a short-term eviction moratorium for rental arrears where a residential tenant suffers loss of income of 25% due to COVID-19 and meets certain other criteria. The moratorium applies to tenants with an annual turnover of $50 million or less.

Commercial and retail landlords will need to attempt mediation before recovering a security bond, or locking-out or evicting a tenant impacted by Public Health Orders.

Payroll tax and lodgement deadline deferred

NSW payroll tax has been deferred for July and August 2021 until 7 October 2021 for all businesses.

The due date for the 2020-21 annual reconciliation has also been deferred until 7 October 2021.

Previous payroll tax deferrals and payment arrangements for 2020-21 due in July 2021 have not been deferred.