Coronavirus Qld: Businesses in limbo waiting for cash help

Queensland’s pandemic-hit small businesses are in limbo, with only a fraction of a $100 million assistance package having been rolled out since applications closed six weeks ago.

STRUGGLING small businesses in need of assistance amid the COVID-19 crisis have had to wait weeks to find out if they will receive state grants of up to $10,000.

Only about $38 million worth of grants have been approved since round one of the small business support package – worth about $100 million – closed six weeks ago.

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Queensland Small Business Minister Shannon Fentiman has insisted that the State Government is working with businesses to get applications processed as quickly as possible.

But she confirmed that all applications for round one of the program – which Premier Annastacia Palaszczuk has said would provide immediate support – would be finalised by the end of July.

Chamber of Commerce and Industry Queensland general manager of policy and advocacy Amanda Rohan said businesses were disappointed that the grants were being dispersed so slowly.

“Cash flow is one of the biggest problems businesses face, and these grants were an opportunity to help get them through to the next phase,” she said.

“But they won’t serve their purpose if businesses aren’t receiving the funds when they need it, which is now.”

Ms Fentiman said the Government had to contact some businesses for further information.

Small Business Minister Shannon Fentiman

“More than $37.7 million has been approved to assist over 4200 businesses so far, with much more to come in the following weeks,” she said.

“The COVID-19 pandemic has been tough for so many Queensland small businesses and never before has this level of support been provided.”

Shadow treasurer Tim Mander said the “painfully slow” processing was not good enough, and the grants should have been paid out in days.

“It shows the Government is completely out of touch with the challenges faced by small businesses,” he said.

Round one of the program was “oversubscribed” within a week when it opened in May, with the Government unveiling a second round of $100 million.

Thousands of applications have poured in since the second round opened last Wednesday – but no date has been set for when the grants for round two will be finalised.

The Queensland Rural and Industry Development Authority will be responsible for processing the latest round so work can begin immediately.

The Government has said the grants were developed to assist those businesses forced into isolation, to restructure or change their operations.