Shropshire Council

COVID-19 extension grant funding for small businesses

*Advance warning of closure of extension grant funding scheme - 26 June 2020*

Last few days to submit an application

Businesses that are still wanting to apply to this competitive funding scheme must apply via the online application form no later than Tuesday 30 June, after that time the scheme will be closed to new applications.

The round 3 grant funding was due to close on Sunday 28 June but will remain open until 23.59 on Tuesday 30 June 2020 and it is possible that a fourth round will not take place given the high volume of applications that have been received to date. Should this position change and funding does remain available, further information will be released through this page.

If your business has made an application over the last 4 weeks to this fund there is no need to apply again, your application is logged and is being considered.

The purpose of this extension grant scheme is to support businesses who to date have been ineligible for Government grant funding.

It seeks to prioritise those who are based in locations where no business rate payment is made directly to Government, via Shropshire Council.

The first two rounds focused on the Government prioritised sectors of small businesses in shared offices and flexible workspaces, regular market traders, B&B’s and Charities based in commercial premises.

The third round of this competitive funding is now open to businesses in the following sectors, where local need has been identified, and will close at 23.59pm on Sunday 28 June 2020. Please note this funding round will take place over 2 weeks.

These have been defined by Shropshire Council under the following criteria;

  • Care businesses with losses incurred by COVID-19. Proposed to fund those providers who are registered with the Care Quality Commission to deliver care in Shropshire, can demonstrate evidence of a loss of income, employ less than 50 full time equivalent employees (FTE) and can demonstrate a drop in occupancy or hours/care packages delivered. A Grant of £10,000 will be available.
  • Micro-sized Retail, Hospitality and Leisure Businesses who were not eligible for the RHL grant scheme - Applies to Businesses with no rateable premises, employing between 1-10 FTEs (full time equivalent) and a turnover of £25,000-£75,000pa (includes 'home' working, those within larger complexes i.e. business hubs, shopping centres, enterprise parks). Consideration will also be given to those within the supply chains of the RHL industries that are currently not eligible for support (such as breweries, catering etc) but are based in commercial premises. Grants available of £5,000.
  • Small Retail, Hospitality and Leisure Businesses who were not eligible for the RHL grant scheme - Applies to Businesses with no rateable premises, employing between 10-50 FTEs, (full time equivalent) with a turnover of more than £75,000 pa (includes 'home' working, those within larger complexes i.e. business hubs, shopping centres, enterprise parks). Consideration will also be given to those within the supply chains of the RHL industries that are currently not eligible for support (such as breweries, catering etc) but are based in commercial premises. Grants available of £10,000.
  • Micro-sized Business Enabling Services (including IT, Recruitment, Creative and Digital and Professional Services (such as PR and Comms). This applies to businesses employing between 1 and 10, and this funding category can also include those who are home-based and working in these areas. Grants available of £5,000.
  • Small-sized Business Enabling Services (including IT, Recruitment, Creative and Digital and Professional Services (such as PR and Comms). This applies to businesses employing between 11 and 20, and this funding category can also include those who are home-based and working in these areas. Grants available of £10,000.

Businesses are encouraged to apply as soon as possible, as we will have to manage the limited funds on a first come first served basis.

As part of the process, applicants will be asked to provide supporting documentation as proof of eligibility.

The level of grants to be awarded to Shropshire-based businesses has been based upon the current levels awarded to businesses under the Small Business Grant Fund (SBGF) and the Retail, Hospitality and Leisure who have a business rate liability, due to their occupancy of commercial property.

This extension grant scheme is also providing grants below £10,000 that better reflect the size of many businesses in Shropshire, where 89% have ten employees or less. It better reflects local need including the likely occupancy models we see demonstrated and likely fixed costs. These smaller grant amounts ensure that we are able to award funds to more Shropshire’s businesses who have fixed costs, and can demonstrate losses during the COVID-19 pandemic.

What supporting documentation do I need to provide?

As part of the application process it is necessary to provide supporting documentation to be used by Shropshire Council to assess your application and ensure you have applied for the most relevant grant for your needs.

During the application process you will be sent a confirmation email with your application reference number and further instructions.

You will need to reply to the confirmation email, with copies of your relevant supporting documents attached. The reply must be sent within 48 hours of applying/before the end of the current round (whichever comes first) to complete your application.

You can provide these copies in a number of formats including pdf, jpg, screenshot, photo, word documents or excel spreadsheets.

Please provide:

  1. A copy of a recent bank statement (dated within the last 3 months) – that shows the business name, sort code and bank account number relevant to the application you have made

  2. Depending on your business type, you will also need to supply the following:
    Business Type Supporting Documentation

    Care businesses with losses incurred by COVID-19. Must employ less than 50 FTEs and be wholly based within Shropshire.

    Evidence of Care Business registered status, including if registered with a Local Authority.
    And, evidence that the business employs less than 50 full time employees.
    And, copy of recent bank statement.

    Micro & Small Retail, Hospitality and Leisure Businesses who were not eligible for the RHL grant scheme

    Copy of current / most recent council tax bill if home-based.
    Or, copy of current rental agreement or licence showing monthly fixed costs incurred.
    And copy / image of Promotional material used that details the business is operating in this sector and provides services to the general public.
    And, copy of recent bank statement.

    Micro and Small Business Enabling Services (including IT, Recruitment, Creative and Digital and Professional Services (such as PR and Comms).

    Copy of current / most recent council tax bill if home-based.
    Or, copy of current rental agreement or licence showing monthly fixed costs incurred.
    And copy / image of Promotional material used that details the business is operating in this sector and provides services.
    And, copy of recent bank statement.

Providing the relevant supporting documentation will speed up the application process, so is beneficial to do as quickly as possible when prompted.

This information will be used for audit purposes only.

Frequently asked questions:

Does my business qualify for this grant?

In addition to the criteria set out previously on this page, these grants are primarily and predominantly aimed at small or micro businesses:

  • Small Business is defined as;
    • Turnover not more than £10.2 million.
    • Balance sheet total of not more than £5.1 million.
    • Number of employees: a headcount of staff of less than 50 FTE
  • Micro Business is defined as;
    • Turnover not more than £632,000.
    • Balance sheet total of not more than £316,000.
    • Number of employees: a headcount of staff of less than 10 FTE.

In addition, the scheme is prioritising those businesses sectors stated above:

  • with relatively high ongoing fixed property-related costs.
  • which can demonstrate that they have suffered a significant fall in income due to the COVID-19 crisis.
  • Businesses which occupy property, or part of a property, with a rateable value or annual rent or annual mortgage payments below £51,000

This grant funding is for businesses that are not eligible for the following support schemes offered by Government:

  • Small Business Grant Fund (SBGF).
  • Retail, Hospitality and Leisure Grant Fund (RHLGF).
  • Domestic Seafood Supply Scheme (DSSS)
  • The Zoos Support Fund
  • The Dairy Hardship Fund

To re-iterate if you have successfully been approved for the grant schemes above you are not eligible for this scheme.

  • Businesses who have applied for the Coronavirus Job Retention Scheme are eligible to apply for this scheme
  • Businesses who are eligible for Self-employment Income Support Scheme (SEISS) are eligible to apply for this scheme too, regardless of their application status
  • Only businesses which were trading on 11 March 2020 are eligible for this scheme
  • Companies that are in administration, are insolvent or where a striking-off notice has been made are not eligible for funding under this scheme

You will need to provide relevant supporting evidence as part of your application.

How much can my business apply for?

Business Type Maximum grant amount available

Care businesses with losses incurred by COVID-19. Must employ less than 50 FTEs and be wholly based within Shropshire.

£10,000

Micro Retail, Hospitality and Leisure Businesses who were not eligible for the RHL grant scheme, and employ between 1 and 10.

£5,000

Small Retail, Hospitality and Leisure Businesses who were not eligible for the RHL grant scheme, and employ between 11 and 50.

£10,000

Micro Business Enabling Services (including IT, Recruitment, Creative and Digital and Professional Services (such as PR and Comms), and employ between 1 and 10.

£5,000

Small Business Enabling Services (including IT, Recruitment, Creative and Digital and Professional Services (such as PR and Comms), and employ between 11 and 20

£10,000

The level of grants to be awarded to Shropshire-based businesses has been based upon the current levels awarded to businesses under the Small Business Grant Fund (SBGF) and the Retail, Hospitality and Leisure who have a business rate liability, due to their occupancy of commercial property.

This extension grant scheme is also providing grants below £10,000 that better reflect the size of many businesses in Shropshire, where 89% have ten employees or less. It better reflects local need including the likely occupancy models we see demonstrated and likely fixed costs. These smaller grant amounts ensure that we are able to award funds to more Shropshire’s businesses who have fixed costs, and can demonstrate losses during the COVID-19 pandemic.

What are the key dates for each round?

This grant scheme is now on its third round, that will take place over two weeks, closing 30 June 2020.

Businesses are encouraged to apply as soon as possible, as we will have to manage the limited funds on a first come first served basis.

After that time there will be a further round that will remain open for another two weeks but will only focus on retail, hospitality and leisure businesses alongside business enabling services, but these further rounds are reliant on unallocated funding being available, so cannot be guaranteed.

The grant scheme is now open for applications; the dates of the funding rounds are as follows:

Funding Round Date Opens Date Closes
3 12.00am Monday 15 June 2020 23.59 Tuesday 30 June July 2020
4 Funding no longer available - previous round extended

Please also note that Shropshire Council reserves the right to not undertake further funding rounds, if all of the Government funding made available to this Extension Grant Fund has already been allocation in the previous rounds.

What happens next?

 

Apply online

The final application round is now closed.