Start Up Grant
The Welsh Government has announced a ‘Start Up Grant’ to support new businesses in Wales in dealing with the severe impact of Coronavirus.
To be eligible for the ‘Start Up Grant’ of £2,500 businesses must:
- not have received funding from the Economic Resilience Fund or the Non-Domestic Rates grant
- have been set up between the 1 April 2019 and 1 March 2020 and not qualify for Self Employment Income Support Scheme
- have turnover less than £50,000
- have a drop of more than 50% income between April-June 2020
The Start Up Grant is being administered by local authorities and accessed through the Economic Resilience Fund eligibility checker on the Business Wales website https://fundchecker.businesswales.gov.wales/.
Applicants will be required to submit a short application form and self-declaration that is supported by evidence. In addition, applicants will be required to sign up to Business Wales start-up support and advice and align with the ethos and principles of the Economic Contract.
Businesses can apply from midday on 29 June 2020.
Self-Employed Income Support Scheme
Self-employed individuals or members of partnerships whose business has been adversely affected by coronavirus will be able to apply for a Self-Employment Income Support Scheme (SEISS) grant worth 80% of their average monthly trading profits.
Individuals will be able to make their claim based on their Unique Tax Reference number. This can be checked on HMRC’s online checker and those eligible will receive government grant worth up to £7,500.
Individuals are eligible if their business has been adversely affected by coronavirus, they traded in the tax year 2019 to 2020, intend to continue trading, and they:
- earn at least half of their income through self-employment
- have trading profits of no more than £50,000 per year
- traded in the tax year 2018 to 2019 and submitted their Self-Assessment tax return on or before 23 April 2020 for that year
Those who pay themselves a salary and dividends through their own company are not covered by the scheme but will be covered for their salary by the Coronavirus Job Retention Scheme if they are operating PAYE schemes.
Before grant payments are made, the self-employed will still be able to access other available government support for those affected by coronavirus including more generous universal credit and business continuity loans where they have a business bank account.
For further information on the Self Employment Support Scheme please visit the GOV.UK website.