The recent unprecedented bushfires will leave a scorch mark on our economy for many years to come. Aside from the physical damage and the health repercussions it has had on people and wildlife, the impact on primary producers, small businesses and tourism will be substantial.
Whilst it appears the worst of the fire season has passed for much of Australia, unfortunately for many, the ramifications of the fires for both individuals and businesses alike have only just begun to be felt. To help those in need get back on their feet, we have put together the below summary of considerations, assistance and relief measures available to businesses affected by fires across NSW.
1. Assess your circumstances
The first step towards helping you to rebuild or recover after any disaster is to take stock of your current circumstances. Identify what you have, what your immediate needs are to keep yourself afloat for the short-term and ideally what resources you need to get back on your feet. This will involve a discussion with your insurer, accountant, bank manager and major stakeholders to see what options are available to you. The earlier you get in contact the more time you have to plan your approach.
If you are a client of Nexia and have been affected by the fires, we encourage you to call your adviser immediately so that we can assist you.
2. Identify your eligibility for grants or assistance measures
There are a number of Federal and State Grants and financial assistance measures available to individuals and businesses - particularly small businesses and primary producers, affected by the bush fires. This includes recovery grants of up to $50,000 and concessional loans of up to $500,000 for eligible small businesses, primary producers and non-profit organisations. You can find a complete list of Government grant and assistance measures here.
Thank you to the massive generosity of fellow Australians and people from across the globe, there are also a range of grants and assistance measures available to individuals that can be accessed through charities including The Salvation Army, The Red Cross and St Vincent de Paul.
3. Identify any tax relief you may qualify for
The Australian Taxation Office (ATO) has announced that any taxpayers in designated postcodes impacted by the bushfires will have until the 28th May 2020 to lodge and pay business activity statements and income tax returns. Businesses who pay their Pay-As-You-Go (PAYG) instalments quarterly will also receive relief for instalments in the December 2019 quarter and future quarters. Please contact your accountant to learn how to take advantage of the tax relief.
4. Check-in with yourself, your employees and clients
It is important during this time that you take time to check-in with yourself. Trauma can have harmful impacts on our health and there are many people out there that you can speak to. A number of charities, mental health organisations and state mental health phone lines have been set up specifically to deal with counselling for victims of the recent bushfires. The Australian Government is also providing free counselling sessions to those affected by bushfires to help support them during this difficult time. For more information please click here.
As a business owner, we also encourage you to reach out to your employees and make sure they are aware of what assistance and support for their wellbeing is available during this time. It is also advisable to contact your clients and keep them updated on the progress of your business and show any support for clients who may have been affected by fires.
5. Plan for the future
Whilst it may seem difficult whilst you’re in the thick of recovering from a disaster, once the dust has settled it is important to review your disaster recovery plan and implement any changes that will help you to bounce back better in the future. Having the necessary insurances, IT back-up procedures and plans in place can make a world of difference.
Nexia Sydney Office has set up a bush fire relief hotline for any businesses affected by the fire who are looking for some help to point them in the right direction for assistance. Please call 02 9164 0899 or contact us using the contact button below.
