What help is there for Sole Traders!
Lockdown has most likely left you anxious about your future and desperate to find away to financially survive until June. Regardless of your political persuasion the government are doing there very best to help you get through. Click here to look at our blog issued after Rishi’s announcement.
The big (in fact huge) difference between the self employed and employees that have been furloughed is that you can still work! Yes you heard right, you can claim the 80% grant and still work. Obviously we know this won’t be possible in all industries, but, if it is possible, this is great news for many sole traders. Especially in the construction industry.
The drawbacks of the grant, are that it is based on your last three years profits filed with HMRC. However the government will take one or two year if that is all you have. This means you will need to of had at least a 18/19 tax return filed with HMRC to be able to apply for this grant. Pressure is being put on the Government to allow the newly Self Employed to be eligible for the grant. Things are changing by the hour, if the government change their minds, the self employed would need a 19/20 tax return completed as soon as possible to be able to apply for the grant. Click here to read an article from the Times
The other downside is that this grant will not be paid to you until June.
Wondering what you can do between now and June? Here are our top tips:
Work out exactly what you need to live on for April & May
Where possible, defer your mortgage by speaking to your mortgage company. 10 of the biggest lenders now let you apply online. Make sure you apply and don’t just stop your direct debit. Take a look at Martin Lewis’ help with how to apply.
Work out what grant you will be entitled to. If you would like us to work this out for you, or to send you our grant calculator. Please email [email protected]
Work out what you need to borrow. If family and friends can help you, use them. Your grant will help to pay them back.
The Business Interruption scheme, should be able to help you. To access this, speak to your local bank.
Apply for universal credit. This is not a failure, use the help that is available!
Get your accounts up to date so you can see exactly how your business will be impacted.