SA Budget: Second round of $10,000 grants on offer to small businesses, not-for-profits

More $10,000 grants are up for grabs for small businesses. And for the first time, $3000 grants are on offer for sole traders and partnerships.

A second round of $10,000 cash grants are on offer to small businesses and not-for-profit organisations suffering financial hardship due to the COVID-19 pandemic.

And for the first time, businesses that do not employ staff, including sole traders and partnerships, could be eligible for $3000 grants if they operate from commercial premises.

The grants can be used to pay for ongoing or outstanding operating costs, such as rent and power bills, as well as for supplier and raw material costs, and other fees.

The State Government has allocated $82 million in Tuesday’s 2020/21 State Budget for the initiative.

It forms part of the Government’s $4 billion economic stimulus package that aims to protect local jobs.

Premier Steven Marshall, who declared the budget would deliver the “single biggest hit of economic adrenaline in the history of South Australia,” said the Government was “determined to do everything in our power to help keep (small business’) lights on, their doors open and their hardworking people in jobs”.

He confirmed small businesses and not-for-profits who received $10,000 during the first round of grants in April could also be eligible for a second $10,000 this round.

“While many local businesses have started the recovery process as COVID-19 restrictions have started to ease, we know there are still many others who continue to be negatively impacted by the pandemic,” Mr Marshall said.

“That’s why we’re introducing a second round of $10,000 cash grants to support those small businesses and not-for-profits who continue to do it tough, which brings to $20,000 the total direct and targeted cash support for employers.”

Premier Steven Marshall has announced a second round of $10,000 cash grants for small businesses and not-for-profits affected by the coronavirus pandemic.

Mr Marshall said the Government decided to offer grants to sole traders and partnerships operating from commercial properties “in recognition of their value in the economy”.

“This money will help ease the cash flow burden on businesses, to help cover ongoing or outstanding operating costs, such as rent, power bills, supplier and raw materials costs and other fees.”

More than $186 million in cash grants were paid to more than 18,700 recipients during the first round of grants.

“I was stopped many times as I walked down the street by business owners who said it was an economic lifeline for their business, they wouldn't' have been able to survive if it wasn’t for that $10,000 which came from the government earlier in the year,” Mr Marshall said.

Andrew Pearce, director of city eatery Hello Sarnie, said the first round of grants helped his business open a third store in Adelaide, which created jobs, and he hoped this next round will help his business build on that growth.

“When the pandemic hit, we were down on our knees and when the first cash incentive came it was a lifeline to us,” he said.

“For us, this second round will definitely assist us for that growth.”

Applications for the grants opened today and will be available until midnight on December 14.

For more information, including the eligibility criteria, visit treasury.sa.gov.au.