Business Support Update

COVID-19 Business Update – 12 August 2020

Hello again – welcome to the latest edition of our Weekly Digest. Read on for this week’s update.

Call for Calm Amid Auckland’s Return to Alert Level 3

Four new COVID-19 cases have been detected in Auckland this week ending our 102 day streak without a locally transmitted cases.

Level 3 restrictions have been reintroduced in Auckland as at 12pm Wednesday until midnight on Friday.

While health officials determine the extent of local transmission, non-essential businesses, schools, and childcare facilities will be temporarily shut down. Mass gatherings will be limited to 10 people, and residents will be permitted to leave their homes only when necessary.

Traveling into Auckland is also not allowed through the end of the week unless people live there and are returning home. Meanwhile, the rest of the country will be moved to Alert Level 2 as a precautionary measure.

Under Alert Level 2, social gatherings will be limited to 100 people and public venues such as swimming pools and museums will remain open as long as they maintain records of visitors and social distancing rules are enforced.

Although this is a scenario that we all hoped wouldn’t happen again, Prime Minister Jacinda Ardern assured Kiwis that this is something that they had prepared for.

We understand that this return to lockdown is unfortunate news for struggling businesses, especially in the retail and hospitality sector. However, there are ways by which you can cushion its impact. Feel free to leave us a message so we can help you work out a plan on how to recover amid the COVID-19 pandemic.

IMPORTANT NOTICE

To manage any further spread of COVID-19, the Government is requiring that during Alert Levels 2 and 3, all businesses and services must:

  • display the official NZ COVID Tracer QR Code: and
  • have systems and processes in place to otherwise support contact tracing such as a pen and paper register or a digital sign in system

These contact tracing requirements came into force at 11.59am on 19 August 2020. If you have not already generated an official QR poster for your business premise, click here to generate them now. Note – you need a separate QR Code for each business site.

Business support schemes you might not have heard of

While you’ve probably heard about the wage subsidy and small business loans programs, there are other grants and schemes available to business owners that you might not have heard of. This stuff.co.nz article details 5 business support schemes that have gone under the radar including business debt hibernation and IRD penalty and interest relief. Ask us if you have any questions about what you’re eligible for and how to apply.

Research: 61% of Small Businesses are Clueless About Online Payment Safety Standard

Results from New Zealand Post’s latest research shows online shopping increased 105% when NZ moved into Alert Level 3. Furthermore, it was found that Kiwis continue to buy local, as domestic online sales accounted for 71% of the total online spending.

However, in a recent survey conducted by Cert NZ, it was found that 61% of small- and medium-sized business owners responsible for their website had no real knowledge of Payment Card Industry Data Security Standard (PCI DSS) requirements, which are meant to reduce credit card fraud. This can be problematic if you are accepting payments through your website.

Mentoring Scheme for Small- and Medium-Sized Businesses

The Regional Business Partner Network gives business owners access to advice and resources on business continuity planning, finance and cashflow management, HR issues, and sector-specific concerns amid the COVID-19 crisis. You can find more details in this article from Treasury.

If you’re looking for ways to adapt your business, get in touch with us.

Government Loan Applications Extended

The Small Business Cash Flow Loan Scheme allows you to get financial assistance of up to $100,000 and an additional $1800 per equivalent full-time employee. Repayments are not required for the first two years, but if the loan is paid back within a year, there will be no interest.

The government has extended this loan until the end of the year. For those who haven’t applied for this government loan yet, you can check your eligibility here or you can get in touch with us so we can assist you with your application.

Applications for Wage Subsidy Extension Close Next Month

Applications for the Wage Subsidy Extension are open until 1 September 2020. This initiative is aimed at supporting employers, including the self-employed, who have been significantly hit by COVID-19. Under this scheme, the wages of your employees will be covered over an 8-week period.

On the Bright Side…

We’re now in the third quarter of 2020 and we are still in the grips of a global pandemic– leaving many scared, frustrated, and struggling. However, among the dire news, there have been a few bright spots, as this article points out, with a listing of 100 positive things that have happened so far in 2020. For example, drive-in movie theatres are showing a resurgence, adoption and fostering of homeless animals has risen, and museums around the world have opened for virtual tours.

We understand that this year seems incredibly hard, and it surely doesn’t feel like a moment when you can easily see the glass as half full or make lemonade out of lemons. While it’s okay to not be okay, we encourage you to find the silver linings.

Get in touch

Contact us if you have any questions or want to discuss the next steps for your business.