The Marshall government has extended its lifeline to the state’s SMEs, which will receive increased grants of up to $6,000, along with businesses in the tourism and hospitality sector, which could receive grants of up to $20,000 as part of a new package.
South Australian Premier Steven Marshall on Monday announced a new round of support for the state’s businesses, in partnership with the Commonwealth, which includes two new payment programs targeted at small businesses and the state’s hospitality and tourism sector set to support some 3,500 businesses at a cost of $15 million.
For small businesses, the state has established a new COVID-19 Business Hardship Grant of $6,000 for employing businesses with annual payrolls under $10 million.
The Hardship Grant will also extend support to non-employing businesses, who will receive payments of $2,000 if they have experienced a 50 per cent reduction in turnover and haven’t been eligible for previous business grant support since the state’s July package.
South Australia’s renewed business support also includes the establishment of a new Tourism and Hospitality Support Grant, which will support periphery sectors like the performing arts, taxis and car rental.
Under the scheme, those that have already received state support will receive additional, tiered support.
Eligible businesses with an annual turnover under $2 million will receive payments of $3,000, while those with turnovers between $2 million and $5 million will receive payments of $10,000.
Meanwhile, businesses with turnovers of more than $5 million will receive payments of $20,000, while non-employing businesses across the sector will receive payments of $1,000.
Grants of up to $100,000 will also be made available to eligible events businesses that had had to cancel or postpone large events, where capacity was expected to breach 10,000 people.
Businesses that previously applied for the state’s $25,000 grant under the Major Events Support Grant will be eligible for a top-up of $75,000.
Mr Marshall said the renewed support recognises the role the state’s businesses have come to play in navigating their way out of the pandemic.
“While we have more South Australians employed than ever before in the history of the state, there is no doubt many businesses have been doing it tough during the global pandemic,” Mr Marshall said.
“These new grants will further support our hardworking small businesses who are the backbone of the state’s economy.”
Treasurer Josh Frydenberg said the package comes in addition to the $9.5 billion the Morrison government has already delivered to South Australian businesses through the pandemic, as businesses continue to bear the brunt of COVID-19.
“Tourism and hospitality businesses have done it particularly tough as South Australia feels the impact of lockdowns in neighbouring states,” Mr Frydenberg said.
“But there is light at the end of the tunnel. By sticking to the National Plan, agreed to by State and Territory leaders, we can safely ease restrictions and open up our economy.
“And as we progress towards our vaccinations targets of 70 to 80 per cent, the Morrison Government will continue to work closely with the Marshall Government to support South Australian businesses through this challenging time.
“We will continue to work with the Marshall Government to ensure the South Australian economy bounces back.”
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