Articles by Matthew Gilligan


Covid-19 - Offices closed but business as usual

Monday, March 23, 2020
After the Covid-19 announcement today, all our staff will be working from home. We are well set up to do this, and our business will operate as per usual, with the following changes:

1. All meetings will be by phone or Skype
2. All events will be held online
3. We will not be able to receive postal or courier mail for the time being, so please send everything via IQ Online or email. 

Support for our clients
We know this is a time of uncertainty for business owners, sole traders, the self-employed, and employees. To that end, on Saturday the Government announced measures to help businesses get through these tough times. And today (23 March) further support was announced. 

As part of the economic package to help businesses survive the Covid-19 pandemic, the Government has outlined various ways they will offer support. 

Wage subsidy 
Businesses can apply for a wage subsidy of $585.80 per week for employees working over 20 hours per week, and $350.00 for those working less than 20. 

The original package had a maximum cap for this subsidy of $150,000, but today that cap was removed. 

All New Zealand employers are eligible for the wage subsidy, including new business or rapidly growing businesses. The government made another $4 billion available. 

Find out more here: https://www.workandincome.govt.nz/products/a-z-benefits/covid-19-support.html

Rent freeze
Rent freezes are in place, and 'no cause' terminations have been extended to commercial tenants, to assist business owners who are struggling with rent payments. 

Business finance guarantee
Banks agreed in principle to a 'business finance guarantee' scheme, under which the Government will underwrite business loans. That means you can write to your banker and ask for an overdraft underpinned by a government guarantee. We suggest everyone that needs it should do this immediately. 

Quantitative Easing

With the government agreeing to buy $30 billion of bonds, we have NZ’s first ever quantitative easing. This is designed to keep interest rates low and stimulate the economy. This, coupled with the strong government initiatives looks like a very positive response from the government and should allay the fears of many. (For more on this, have a look at my blog about banking and debt.)


Summary
We know these are challenging times, and we will do our best at GRA to support you. If you have any concerns at all, please get in touch in any of the following ways:
Phone us on +64 9 522 7955 
Email us on info@gra.co.nz
Fill in our online form 
If you are a GRA accounting client, contact your Client Services Manager directly

Stay safe. 







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