The Small and Medium Sized Business Recovery Grant Program was introduced in early fall 2020 to provide B.C. businesses with additional support through COVID-19 and beyond. The program was poorly advertised and consequently, the business community is relatively unaware of the funding available.
The program will fund grants of up to $30,000 for eligible B.C. businesses and up to an additional $15,000 for tourism-related businesses.
On December 21, 2020, the government altered the eligibility criteria for small and medium sized B.C. businesses impacted by COVID-19, making it easier for businesses to qualify.
The program runs until March 31, 2021 or until funds are fully allocated, whichever comes first.
HOW TO APPLY
The process for applying for the grant is as follows:
- Determine eligibility
- Apply for funding
- Compile all documentation
- Prepare a recovery plan
- Complete and submit the online application
Note: If deemed eligible, the government will cover up to $2,000 in fees paid to Walsh King for any assistance with the application process.
ELIGIBILITY
To qualify for the base grant, a business must meet all eligibility criteria. To be eligible, a business must have:
- Experienced a monthly revenue loss, compared to the same period in 2019 of:
– at least 70% during March or April 2020; and
– at least 30% during May 2020 to present day
- Its majority share owned by one or more B.C. residents;
- Been operating in B.C. for at least 18 months as of the date of the application;
- Its sole or primary operations located and conducted in B.C.
– The business is registered in B.C.
– The business is current and pays taxes in B.C.
– The business is currently operating (seasonal or temporarily closed businesses are not eligible)
- Employ up to 149 people in B.C. for at least four months of the calendar year
– If the business has no employees, the application must state how the grant will support the recovery for the benefit of the community
- Had positive cash flow for the last financial statement, prior to February 1, 2020; and
- Not prepared the business for closure, dissolution or for sale following February 1, 2020.
REQUIRED DOCUMENTS
Applicants will need to upload the following financial documents with their applications:
- Ownership records – one of the following:
– Central Securities Register
– Corporate tax return – Schedule 50
– Personal tax return – Statement of Business of Professional Activities
- Payroll records from September 1, 2019 to now – one of the following:
– T4 Statement of Remuneration Paid
– PD7A Payroll filing documents
– Payroll or cheque run
- Financial statements for the current year plus two preceding years
- Monthly revenue for the past 24 months
- Tax returns for the last two years
– Notice of Assessments
– Corporate tax return – for incorporated businesses
– Personal tax return – for unincorporated businesses
DEVELOP A RECOVERY PLAN
Each business is required to develop a recovery plan that defines the actions it plans to implement to support continued operation under the conditions of COVID-19. Recovery plans should:
- Be easy to put in place
- Outline the timeframe for each action and their completion
- Identify the costs involved in implementing each action
Examples of recovery plan actions include:
- Providing new services to customers
- Modifying the physical location of the business
- Installing an outdoor patio with physical distancing barriers
- Hiring online marketing services
- Supporting the fixed costs of the business such as rent/lease or other overhead
HOW WALSH KING CAN HELP
Chris Reimer, senior manager in our Assurance Group, and our team have assisted several clients in successfully applying for and receiving funds under various government programs.
If you would like help with the grant application process or developing a plan for your business’s recovery and success, please contact us.
Posted in COVID-19
