24.08.2021

COVID-19 UPDATE: Financial Support for Businesses

This latest COVID-19 Level-4 lockdown will impact almost all New Zealand businesses.  All Finance New Zealand staff and business partners are working from home, so we are well placed to manage you through this time with minimal disruption to services, making it as easy as possible for you.

During the previous Level-4 lockdown, our team worked hard to support customers.  This assistance has generally come in the form of interest only periods, payment holidays, or other forms of working capital assistance.  In general, the lenders we work with have been supportive, but the processes they need us to follow and degree of information they require does vary.  If you have a need for assistance, please contact us to discuss your requirements.  We will then proactively work with each lender to smooth the process for the best outcome for you and your business.  

Here is a snapshot of the government financial support available to businesses. Please check the full criteria by clicking the links provided below, read and apply.

Wage Subsidy Scheme (WSS)

Your business has had, or you predict will have, a decline in revenue that can be attributed to the effect of the move to Alert Level 4:

  • at least a 40% decline in revenue during the revenue test period.
  • Applications opened Friday 20th August.
To read more information on the Wage Subsidy Scheme click on the link below: 
https://www.workandincome.govt.nz/covid-19/wage-subsidy/index.html

Resurgence Support Payment (RSP)

Businesses and organisations may be eligible if: 

  • they experience a 30% drop in revenue over a seven day period after an alert level increase.
  • Applications open 24th August.

To read more information on the Resurgence Support Payment click on the link below:
https://www.ird.govt.nz/covid-19/business-and-organisations/resurgence-support-payment


 

Leave Support Scheme (LSS)

Provides a two week lump sum payment to businesses to pay their workers who meet certain health criteria:

  • can't come into work because they are in one of the affected groups and have been told to self-isolate (and can't work from home).
  • Applications open 24th August.

To read more information on the Leave Support Payment click on the link below:
https://www.workandincome.govt.nz/covid-19/leave-support-scheme/index.html


Short Term Absence Payment (STAP)

This payment provides a one-off (once per 30 days) payment of $350 for workers who must miss work due to a COVID-19 test and cannot work from home. Applications are open now, however, the rate increases to $359 from Tuesday 24 August 2021.

To read more information on the Short Term Absence Payment click on the link below:
https://www.workandincome.govt.nz/covid-19/short-term-absence-payment/


Small Business Cashflow (Loan) Scheme (SBCS)

Provides loans to small business who have been impacted by COVID-19 and the associated lockdowns. The loan amount is $10,000 per firm, plus $1,800 per FTE and will need to be repaid to IRD.

To read more information on the Small Business Cashflow Scheme click on the link below:
https://www.ird.govt.nz/covid-19/business-and-organisations/sbcs


We recognise this is a frustrating and stressful time for New Zealand businesses, their employees and their families. We take some comfort from the speed of “bounce back” in most areas of the New Zealand economy from past Lockdowns and hope we see this repeated as we come out of this Lockdown at a future date.