As the owner of a small or medium sized business, Coronavirus is likely having a terrible impact on cashflow and footfall. Businesses around the UK are struggling as Covid-19 wreaks havoc on their supply chains and draws production to a halt. All hope is not lost, however, and there are things you can do to protect your business during the Coronavirus crisis.

Let’s review some of the support that is available to help your British business through these turbulent times.

Government Support for Small Businesses Affected by Coronavirus (UK)

The British government have set out a series of emergency support programs designed to keep businesses afloat in this troubled time. New rules state that you cannot terminate employment of staff because of Coronavirus. This means you cannot sack your staff because of lack of custom or being forced to close.

SMEs (that’s Small to Medium Sized Businesses) in the UK have been granted access to a Statutory Sick Pay support program as part of their new Job Retention scheme. Other help for small businesses disrupted by Coronavirus is available. Your business may be entitled to:

• Retail, Leisure, Nursery and Hospitality grant funds up to £25k (for businesses who rely on bricks and mortar establishments). This is coupled with a year long business rate holiday for those same firms.
• VAT and Income Tax payments have been deferred.
• A Self Employed Income Support Scheme has been set up to help self-employed people (including partnerships) through income loss. You will be eligible to receive up to 80% of your profits (capped at £2.5k pcm).
• HMRC Time to Pay scheme allows SMEs more time to pay their dues.
• An SSP relief package and Job Retention Scheme – this scheme allows all employers who are registered PAYE to claim 80% of their employees’ wages from the UK government.
• A Coronavirus Business Interruption Loan Scheme allowing you to borrow up to £5 million.

As an added bonus, UK gov are offering aid packages to support the liquidity of larger firms through Covid-19. Help is out there… but there are other things you could be doing to prop up current cashflow and improve your situation.

Actively Protecting Your Business during the Coronavirus Crisis

There are things you can be doing while there is no demand for goods and services.

Web Development

Are you online? Do you need to focus on your website? If you already have a website for your small business – is it up-to-date? Does it project a strong brand identity?

Finding Cashflow

Undoubtedly, this is one of your biggest current problems. Raising finance during an international pandemic is not going to be easy. If you are still in the early stages, go back to your business plan. Approaching banks with anything less than a viable financial forecast for when things return to normal will not work. Polish your business plan or consider alternative finance streams such as asset