Grants for small businesses hit by Corona - advice?

[HolidayLetter]

Cash grants of £25,000 will be available for businesses with a rateable value of less than £51,000, and for 700,000 of the smallest businesses a £3,000 grant announced in the Budget will be increased to £10,000

The username tells you my job!

I now have absolutely no income. Not a penny. I have massive bills to pay. I don't qualify for UC or any other benefits because I have money invested in property (which has always provided me with just enough to get by in a frugal way).

I've now spent a week trying to find out how to claim these grants for businesses with a RV of less than £12,000 (and I know I am one of these). But I am still clueless. Can anyone please, please help?

It will be via your council but it's taking time to set up. Your council should write to you if you are eligible.

If you need help with immediate cash flow you can access a government backed loan from any bank interest free for a year, from Monday.

Thanks, MrsS. The Council info is helpful. I am a bit wary of the interest free loans, as they'd still have to be paid off later, and I now have no way to build up any savings to do that (or to pay them off with interest later on). I really need an injection of cash which would replace lost income completely, as I'm not going to be able to make it up!

I'm very cautiously optimistic about the Council, btw, as I currently get 100% Small Business Rates Relief...

I think a lot of people feel that way about the loans but at least it could help if you are stuck waiting for the £12k grant to come through

True. There is one massive bill which needs paying so it could help with that.

£10k sorry not £12!

What if your small company doesn't pay any business rates? I work for a small company based in someone's house! I'm not getting paid but if my employer got a grant then I would.

I don't know, @livingthegoodlife But if I find out anything at all useful, I'll post it on here!

(It is just possible that a home-based small company does pay business rates - so if that's the case, your employer would presumably be eligible? Might be worth mentioning to them...)

I didn't realise the grants were available to people operating holiday lets. That'll please my clients

I'm not sure they are, @LizzieMacQueen That's what I'm trying to find out! I am thinking I might be eligible because of having SBBR, but may be wrong...

@HolidayLetter yes I've mentioned the grant to them and directed them to local council. To be honest I have the kids to homeschool from next week so it might be a blessing in disguise but my bank wouldn't say so.v

@livingthegoodlife what about the announcement today that they'll pay 80% of wages for staff unable to work because of CV?

In a Parliamentary Select Committee the chancellor confirmed that anyone who receives Small Business Rate Relief will get the grant. So if you get the relief, you get the grant.

Councils are administering this and are going to write to everyone who is receiving the rate relief.

I run 2 holiday cottages as my sole income. Not everyone has cancelled, but I expect they will now. I have just taken out a loan to add a third. The builders are in my garden now and I just feel sick every time I see them. I have never had a loan in my life before! I will have to pay it back with no income.

I thought you had to have a business in hospitality or retail to qualify? I am happy to be corrected.

And paying business rates? So that would rule out home based businesses.

@Movinghouseatlast I am not a cryer, but am almost tempted to cry with relief if this is the case. I get SBRR (Council Tax) from the Council, so I just hope this means I will qualify. Even £100 would be welcome!

@Roselilly36 Ugh, I hope not. Though holiday lets are hospitality, surely?

I think the £10,000 is for every small business getting small business rates relief (RV under £15,000). The grant of £25,000 for businesses with an RV of £15,000 - £50,999 is only for retail/restaurants/hospitality/leisure

www.gov.uk/government/news/chancellor-announces-additional-support-to-protect-businesses

Thank you, MrsS. That's my understanding, too. I'm hoping so, anyway, as £10,000 would cover my income and outgoings from March - June, and I would then hope to retain the bookings from July onwards. There would be no spare, but I'm not wanting spare. I'm wanting just to keep afloat!

But surely it can't be an automatic award to everyone who is on SBRR? I run a holiday let, and get the relief, but (a) our coronavirus losses will be much lower than £10K (we own it outright, and bills are negligible when empty) (b) we dont 'need' the grant - we have very well paid jobs and do not rely on the income in any way.

Why should I be awarded a free £10k in those circumstances?

@Tarararara That's great. But this is my sole source of income, and is my business. It's not a bit of extra income on the side. If it ends up with you getting money you don't "need" so that i can get the money I am desperate for, I will live with that.

At the select committee the Chancellor said they don't have the resources to means test it. You could give it back if you don't need it I guess.

We stand to lose around £5k a month, whilst still paying mortgage and bills with no other income. We desperately need this help.

I have just bought a shepherd's hut. In hindsight, the worst decision I ever made. It's going to sit empty and I still have to pay the loan for it.

When I'm feeling positive I convince myself people will flock back when it's over. I don't know how we'll get through the winter though.

Does that mean self employed, who are feeling hard done by with the announcement they'll qualify for SSP, will benefit? Surely they too are small businesses?

Holiday let owner here, we've lost about £25,000 of business in a week and even worse we need to self isolate to protect vulnerable family members so will be charged a rebooking fee of between £200-£300 for those guests that have not cancelled.

UC might work for us as we are employed by the business.
I feel for you.