COVID-19 Jobs Support Loans
written by Darren Hagarty
While most of the focus has been on the economic response to Cornavirus at the Federal Government level, it is worth remembering that other relief measures are also being offered at a State Government level.
One such example in Queensland is the COVID-19 Job Supports Loan package.
This scheme is for Queensland businesses and non-profit organisations financially affected by COVID-19 to retain employees and maintain their operations.
Low interest loans of up to $250,000 are available to assist with carry-on expenses such as employee wages, rent and rates and other related expenditure. Eligible business types include sole traders, partnerships, private and public companies and Trusts.
The main features of the $500 million loan scheme are:
- Maximum loan up to $250,000
- 2.5% fixed interest rate
- 10-year term of loan
- No repayments or interest charged for the first year
- The second and third years are interest only
- Principal and interest repayments will commence after the third year for the remainder of the loan term.
- Loans up to $100,000 do not require loan security. For loans over $100,000 and up to $250,000, a General Security Agreement (GSA) is required.
COVID-19 Jobs Support Loans will be open to applications until 25 September 2020. The scheme will close to applications if the available funding of $500 million is used before this date.
If you feel this may be of interest to you, please visit the following two State Government links for further information:
PT Partners is well placed to assist in the application process, including in the compilation of the required supporting material. Please contact your PT Partners advisor if you would like to discuss this further.
Darren Hagarty is a director of PT Partners
Image credits: ABC