Business Hardship Fund and Business Closure Fund

Coronavirus Restrictions Fund – Business Hardship Fund and Business Closure Fund

The Scottish Government have created a Business Hardship Fund and a Business Closure Fund to support businesses significantly impacted by COVID-19 restrictions.

The fund aim to support some businesses that remain open but are still significantly impacted by the restrictions, including those in the direct supply chains of firms that must close OR in the case of the business closure fund, you must be a hospitality or other business required by law to close.

The grants can be applied for through your local council.
The application form for the Scottish Borders is available at Scottish Borders Council Business Hardship Fund application

The deadline for applications is 5pm on Tuesday 3 November

Grant Receivable:

The Business Hardship Fund

• Premises with a Rateable Value of £51k and under will receive a grant of £1,440.
• Premises with a Rateable Value of £51,001 and over will receive a grant of £2,155.

The Business Closure Fund will operate as a two-tiered scheme:

• a smaller grant of £2,875 for businesses with a Rateable Value (RV) of up to and including £51,000
• a larger grant of £4,310 for businesses with a RV of £51,001 or above, up to a maximum of £21,000 in total for any eligible business operating multiple premises

Qualification Criteria:

Business Closure Fund – For the business closure fund, you must be a hospitality or other business required by law to close (except for takeaway) under the new restrictions.

Business Hardship Fund – To qualify for the fund a business must fall into one of the following two categories:

• hospitality businesses and some gyms, required by these new regulations to operate in a restricted way
• producers/wholesale businesses based in Scotland supplying primarily short-life goods or produce to hospitality businesses required by the regulations to close or operate in a restricted way and able to evidence a minimum 25% reduction in turnover during the brake period

Retail and businesses that provide takeaway food as the core and established basis of their operations are not eligible for the hardship fund.

To be eligible for funding the applying business must also:

• have a business bank account (this will be the account the grant is paid to)
• have been trading before 9 October 2020
• be registered for Business Rates/Non-Domestic Rates – where you pay your rates through your landlord rather than directly to a Council, you are still eligible to apply but must provide evidence of this arrangement through copy of your lease agreement.

A maximum of £14k will apply to businesses operating multiple premises. A separate application is required for each qualifying premises.

The form may be submitted without supporting evidence, which can be provided later.