Following the devastating bushfires on the NSW South Coast, the Australian Government has made available a range of financial assistance to help with clean up and recovery in the Shoalhaven and Eurobodalla.
The Special Disaster Concessional Loan – Bushfires is providing support loans of up to $500,000 to small business owners, primary producers and non-profit organisations that have suffered significant damage to their assets and/or a significant loss of income as a direct result of the bushfires. Funding is available through two streams:
- Bushfire Recovery - Replacement costs for restoring and/or replacing damaged assets.
- Bushfire Working Capital – Essential expenses while the business returns to its normal level of trading.
Subject to the funding stream these loans will be subject to a repayment holiday for a period of up to two years, and loan holders will have three to eight years to make all repayments.
To be eligible, you must:
- be a small business owner, primary production enterprise or a non-profit organisation
- hold an Australian Business Number (ABN) or be registered with the Australian Charities and Not-for-profits Commission (ACNC)
- be located in the defined disaster area for the eligible disaster
- have been engaged in carrying on the business, farming activity or be a non-profit organisation when affected by the disaster
- be primarily responsible for meeting the costs claimed in the application
- be intending to re-establish the business, non-profit organisation or farming activity within the same local government area
- have suffered significant damage to assets as a direct result of the disaster, or have suffered significant loss of income as a direct result of the disaster
- demonstrate that the business, primary production enterprise or non-profit organisation has reasonable prospects of long-term viability with the assistance provided
- use the funds for the approved purpose only
- indicate that they have no reasonable prospects of obtaining finance commercially to carry on the business, primary production enterprise or non-profit organisation and/or demonstrate that if the required assistance were obtained commercially, the business, primary production enterprise or non-profit organisation would be placed in financial difficulty
- demonstrate that the business, primary production enterprise or non-profit organisation has the capacity to repay the loan
- provide adequate security for the loan
You may also be eligible for a loan if both of the following apply:
- the small business, primary production enterprise or non-profit organisation is located outside the defined disaster area for the eligible disaster but is operated at least sometimes on a regular basis in the area; and
- plant or equipment of the small business owner, primary producer or non-profit organisation is situated in the defined disaster area and has been damaged as a result of the eligible disaster.
Where an applicant's income from primary production is less than 50% of their total income, the applicant may still be eligible for a loan if it can be demonstrated that:
- in the ordinary course of business the applicant would meet that requirement, but:
- their primary production income is currently reduced due to drought; and/or
- due to long lead times to full production the applicant expects to earn such an amount of income within a three year period; and
- the applicant's total off-farm income is less than $100,000 gross per annum (per person)
Eligible costs include:
- repairing or replacing damaged plant and equipment
- repairing or replacing buildings and fences
- paying salaries or wages
- paying rent, lease and rates
Applications close on 15 December 2020.
For information on personal hardship and distress assistance, contact the Disaster Welfare Assistance Line on 1800 018 444.