Hi folks Two emails in four days...urgh...I know what you're thinking..it's March again! So, heads up, you only need to read this update if you are: - Self-employed - Interested in a Bounce Back loan - Have business premises - Want to find out more about Carola Becker Bounce Back Loan Scheme - Part 2 🥧 On Saturday, I wrote about the new BB loan which is available to the smallest of business, up to £50K. You can read that email here. I also said "the scheme will start on Monday 4th May. In my opinion, I cannot see this [happening], but we shall see." Well, turns out I was very wrong, and applications were flooding in yesterday, with lots of reports of cash already hitting accounts today - less than 24 hours later. In fact, I'm hearing that within 24hrs, more BB loans had been approved than all CBILS loans in the whole of April. This is fantastic news for the smallest businesses who were left out by the more rigorous and (frankly) bureaucratic CBILS! We also understand that, although the loan is a fixed term for 6 years, there are no early repayment charges, and some clients have - quite understandably - applied for the loan as a rainy-day fund, just in case, with the aim of paying it back in 12 months if things return to normal. After all, we don't know how long this scheme will still be available for. Also remember that, although the loan is guaranteed by HM Gov, the banks must use their own capital to make the loan, as with any other commercial lending. That capital will not be infinite, and the "no repayments for 12 months" condition on the BB loan will mean the bank's cash is tied up for longer than usual. Self-Employed Income Support Scheme - REGISTER NOW!! 📋 So, if you think you might be eligible for the SEISS, here's a job for you to do TODAY: - Go to this website, and enter your UTR and National Insurance number - It will tell you whether you will qualify for the SEISS or not If you are eligible: - the website will tell you the time and date you will be able to log on and make your claim. This is different for everyone, as HMRC are trying to smooth out the demand on the site. (Makes sense, really). - you must have activated your Government Gateway in order to make the claim. No GG = No claim! At the moment, we are being told there is no functionality for agents to make the claim on your behalf. - Grants will be expected in 6 working days from the application date. HMRC's verification checks We are told that "HMRC will check claims and take appropriate action to withhold or recover payments found to be dishonest or inaccurate." I can see a big fat grey area here - what if your business is affected by CV19 today, but bounces back to make 2020/21 your best year ever? I know it's wishful thinking but I can see this being a real issue when you submit your 2020/21 tax return if the figures show improvement and you were in receipt of the grant. For existing clients covered by our Tax Investigation Insurance, the professional costs of any HMRC enquiry into CV19 support are covered by the policy; if we're not your accountant then please check if you have cover in place. Supporting Each Other 👬 If your business has been hammered by CV19 but is still able to continue trading in some capacity, can we use the power of everyone in this group, and their contacts, to generate some work for you? Regardless of whether you're a client or not - it really doesn't matter - tell us about your business, how it's been affected, how we can help and what services you are still able to offer under lockdown. Perhaps, someone might just be after that right now... 🤞 |