With NSW in the middle of the latest COVID-19 outbreak we have had several discussions already with landlords and tenants alike as to what assistance is on offer from the Government and what we can do to help each other through the lockdown period. The following information is important to help you through this period.
Unlike last time when the NSW Government took some time to act, they have been relatively quick in assistance when it comes to commercial leases this time around.
On 14th July 2021 the NSW Government enacted the Retail and Other Commercial Leases (COVID-19) Regulation 2021 (the Regulation).
The Regulation implements temporary changes to retail and commercial leasing laws to support businesses impacted by the current public health restrictions, to maximise the number of businesses that can resume normal operation as soon as this is over.
Under The Regulation for a prescribed period (currently 13 July 2021 to 20 August 2021) landlords will be prevented from taking any prescribed action against an impacted lease for a breach of the lease occurring during the prescribed period unless they have attempted mediation.
This Regulation does not cover every commercial or retail tenant as they need to be an impacted tenant. To be eligible you need to have an annual turnover of up to $50 million and be eligible for the Micro-business COVID-19 Support Grant, the COVID-19 NSW Business Grant and/or the Job Saver Grant.
Our advice is to start making the necessary contact with your accountant or directly with Service NSW. The website that details what is available is https://www.service.nsw.gov.au/campaign/covid-19-help-businesses/grants-loans-and-financial-assistance
Our best advice right now is to make that contact and receive the maximum financial assistance support if required. We are of the understanding that the application process is a lot simpler than last year and the funds will be received quickly, within days hopefully.
A summary of the grants is below, more information can be found on the Service NSW webpage. Micro-business COVID-19 support grant
- A fortnightly payment for businesses with a turnover between $30,000 and $75,000
- A revenue decline of 30% or more
- Businesses that provide the primary income source for a person associated with the business
- Grant of $1500 per fortnight
- Applications open late July. Get notified about financial support
2021 COVID-19 Business Grant
- A one-off payment to help businesses, sole traders or not-for-profit organisations impacted by the current Greater Sydney COVID-19 restrictions
- Grants between $7,500 – $15,000 are available to eligible businesses depending on the decline in turnover experienced during the restrictions.
- Apply here https://www.service.nsw.gov.au/transaction/2021-covid-19-business-grant
Job Saver Grant
- Fortnightly payments to help maintain employee headcount (as at 13 July 2021) and provide cashflow support to businesses
- Employing businesses may receive 40% of their weekly payroll, with a minimum of $1,500 per week and a maximum payment of $10,000 per week
- Non-employing businesses may receive $1,000 per week
- To be eligible you need a revenue decline of 30%, and your turnover is between $75,000 and $50 million
- Applications open late July. Get notified about financial support.
We are all this together so let’s try and stay safe and kind and work through it as smoothly as possible. We’re here to help, so please give us a call on 1300 111 776 if we can be of assistance.