Companies urged to use national support options
A North East business advisory expert is encouraging Sunderland’s firms to explore the full range of support options available to help them manage the impact of coronavirus.
Andrew Haslam, partner intheNewcastleofficeofspecialist business advisory firm FRP, says firms should take advantage of a range of Government
measures to support them.
This includes access to finance for small-to-medium sized businesses, one-off grants of £10,000 for those that pay little or no business rates, and grants of up to £25,000 per property for retail, hospitality and leisure firms.
It also includes a business rate ‘holiday’ during the 2020-21 tax year for retail, hospitality and leisure companies, and the deferral of VAT for all businesses until the end of June.
In addition to this, the government has announced that companies will be able to apply for a three-month extension to file their accounts with Companies House.
Mr Haslam said: “With more businesses being asked - or having no choice - but to close, the government’s measures should be one of the first ports of call.
“The measures enable directors to offer employees a degree of financial security, but it also means they can retain valuable talent once conditions improve.”
However he says businesses should first ensure they factor the full implications of the measures into their future plans.
He said: “The loans for small businesses will no doubt provide valuable assistance but firms should remember they will eventually need to be repaid.
“Any fees that are currently waived may be applied later on and any VAT payments a business chooses to defer will also need to be paid by the end of the 2020-21 tax year.”
He added: “At times like these it’s important the businesses maintain clear and regular communication with both both funders and staff.
“Directors should also be reviewing their company’s cashflow regularly and reviewing any new support measures available.”
For details of Government support, go to https://www. businesssupport.gov.uk/coronavirus-business-support/.