READY TO RETURN TO YOUR WORKPLACE?
Complete our super short survey (takes about 30 seconds) to let us know how you feel about returning to your usual workplace. We’ll be circulating any findings as they come in.
GETTING HELP DURING CORONAVIRUS
If the Coronavirus outbreak is affecting your business, we’ve highlighted the key help you can get, from us and from the Government.
We are all living through something never experienced before meaning there’s no guide or known solution available. With daily updates from the Government it also means a fast moving playing field.
So what help is available? At Raedan we’re working hard to assist our clients at this very uncertain time. We believe it’s going to take communication and community spirit to work this out together.
See more on what is available from us below.
HELP FROM US
Often the news headlines don’t reveal the full truth behind the above options, so one of our first jobs is to clear up the message and explore the detail, hence this page.
We’ll be holding our clients hands, as always, as they look to navigate these options and the next few months in general.
After that, most businesses are looking very closely at cashflow so we’re creating a variety of resources to help them.
Government Support Update
Watch the recording of our webinar from 6 May 2020, covering all the Government support, also shown below.
Released late last year, if you haven’t downloaded it already it contains a number of actionable tips to improve your cashflow.
Business Continuity Plan
A guide and free template to create your own Business Continuity Plan. A form of business plan for coping in a crisis.
With daily updates from the Government the range of support is constantly updating. At present the following key measures are available to businesses.
(Last updated 18 May 2020)
Coronavirus Job Retention Scheme
Announced on 20 March, this scheme is available to all employers.
It is designed to provide up to 80% (max of £2,500 a month) of furloughed workers wages to employers, allowing them to retain employees through the outbreak.
Initially intended to last three months the chancellor has suggested it could be available longer if needed.
So what’s a furloughed worker? It’s an employee who is forced temporarily to be absent from work but is not made redundant. I.e. anyone who is unable to work during coronavirus, working from home doesn’t count!
More questions? Check out our FAQ
Coronavirus Self-Employed Income Support Scheme
Following concerns they had been ignored, the self-employed received details of support from the Government on 26 March.
Like the Job Retention Scheme, eligible self-employed workers will receive the lower of 80% of their average monthly income or £2,500.
Initially intended to cover three months (April, May and June 2020).
To find out more on how it will be calculated and other key details, head to our blog.
Business Rates Relief / Grants
If you receive small business rates relief (rateable value of under £15,000) you will receive a grant of £10,000.
If your business is in the retail, hospitality or leisure industry and you have a property with a rateable value between £15,000 and £51,000 you will receive a grant of £25,000.
Further, all businesses in those industries will receive a 12 months business rates holiday.
All businesses should by now have received their grant but we understand there are millions unclaimed. If you’re not sure, talk to your landlord and local authority.
Enhancement to Statutory Sick Pay
Sick pay is now available to employees from Day 1 of their illness or self-isolation period.
Repayment of SSP will be available for periods of illness on or after 13 March 2020. Up to 14 days SSP may be reclaimed and is available to businesses that:
- had a PAYE scheme in operation on 28 February
- had fewer than 250 employees on 28 February
- are eligible to receive State Aid
Repayment can be applied for from 26 May 2020 via the HMRC website
BOUNCE BACK LOAN SCHEME (BBLS)
Launched on 4 May, the Bounce Back Loan Scheme is designed to help out smaller businesses who had been struggling to get CBILS from banks.
In many cases businesses were still going through the process of applying for CBILS at the time of launch and were able to switch across.
BBLS have many of the same advantages as CBILS but also have a 100% guarantee from the Government and an interest rate cap of 2.5%.
The application process has been vastly simplified and in some cases we’ve seen application to funds received within 24 hours.
Coronavirus Business Interruption Loan Scheme (CBILS)
This loan scheme is designed to provide a guarantee of up to 80% against a loan where otherwise the lender might not see the business as eligible.
This means, where the borrower has a sound proposal but insufficient security.
If as a business you have sufficient security the lender will lend under usual terms, not CBILS.
It should be noted therefore, this is not a guaranteed source of funding and the lender can still say no.
They are interest free for the first 12 months.
TAX POSTPONEMENTS AND PAYMENT ARRANGEMENTS
Announced on 20 March, any VAT payments due between 20 March and 30 June will be automatically deferred. No application is required.
It has been confirmed returns should be filed as usual but not paid. Refunds will be paid by HMRC as usual.
Importantly, if you normally pay VAT by Direct Debit, you must cancel this to stop HMRC taking payment.
Income Tax Deferral
Some who pay income tax by self-assessment are required to make a payment on account in July each year. The payment due July 2020 is to be deferred until January 2021 with no need for any application.
HMRC Coronavirus Helpine
HMRC have launched a new helpline just for Coronavirus (COVID 19). The aim is to help agree payment plans, suspend debt collections and cancel penalties in certain circumstances. You can reach HMRC on 0800 0159 559. We suggest speaking with them as soon as you believe you may have an issue.
READ THE LATEST ON CORONAVIRUS
We all know that mental health is important and that running a business can impact on it. At Raedan we've always strived to reduce the worries of those we work with and we know that a good way to do that is to get things done early! By working together we can get...
As the spread of coronavirus causes the UK government to enforce lockdowns and closures, businesses are being faced with difficult conditions and tough decisions. Though many businesses are adapting, and some even struggling to keep up with increased demand,...
Having seemingly been ignored, the Government announced support for the self-employed on 26 March with it's Income Support Scheme. Similar in some ways to the support for employers, the main question was always going to be, how will it be calculated. Updated May 2020...
No problem, we’re working with clients to put together Coronavirus Action Plans, Cashflow Forecasts and reviews of Business Plans.
If you need more help accessing support and planning ahead, get in touch.