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Help to Grow – the new support scheme from the government

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The government is offering a new scheme called “Help to Grow” for SMEs. ⁠

The programme will help small and medium sized businesses across the UK learn new skills, reach new customers and boost profits.⁠
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You could get:⁠
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– an Executive Development programme that could help you improve business performance and growth potential ⁠
– free online advice and money off software that could help you save time and cut costs through Help to Grow: Digital⁠
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The initiative is open to businesses with 5 to 249 employees who have been trading for more than 1 year. It consists of two strands outlined below:⁠
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1. Help to Grow: Digital⁠

  • Use technology to boost productivity and profits⁠
  • Access impartial advice through an online platform⁠
  • A discount of 50% on approved software worth up to £5,000 for each eligible business⁠
  • The software provided will help businesses build customer relationships and manage their accounts and finances digitally⁠
  • The business must be registered at Companies House, ie a company or LLP⁠

2. Help to Grow: Management⁠

  • Improve business performance, leadership skills, and growth potential⁠
  • Receive 50 hours of ‘MBA’ style management training from leading business schools across 12 weeks⁠
  • One-to-one support from a business mentor⁠
  • The main modules will cover financial management, innovation, and digital adoption⁠
  • The programme is 90% subsidised by the government and will cost £750 to participants⁠
  • The participant should be a decision maker or member of the senior management team⁠

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If you are interested, take a look at the website: https://helptogrow.campaign.gov.uk/⁠
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AllianceCA – Your finance partner⁠
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Tax breaks on electric cars

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Want to find out more about the tax breaks on electric cars ?

Want to buy a car through the business?

Good news 100% First Year Allowances (FYA) for business cars and zero-emission goods will be extended from April 2021 until April 2025 . The measure had been omitted from Finance Act 2020.

What does this mean? If you want to buy a new electric Tesla ( Fleet and Company | Tesla United Kingdom ) for £60,000, the entire cost of the Tesla will reduce your business’ taxable profits by £60,000, saving corporation tax at 19%, this means a tax saving of £11,400.

This Xmas, get yourself a Tesla (thanks to us).

Call Sharon on get in touch here London Accountant | Chartered Accountant London | AllianceCA

 

#HMRC #Tesla #Capitalallowances

Self Employment Income Support Scheme Extended!

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Great news for if you are self employed. ⁠SEISS support scheme has been extended. Self employed support extended ⁠

The Self-Employment Income Support Scheme has been extended by a further, and final, three months at a reduced rate of 70% of average monthly trading profits.⁠ ⁠

The scheme initially ran for three months to cover profits lost by the self-employed during March to May 2020.⁠ ⁠ Under the second and final round, intended to cover June, July and August, claims are to be reduced to the lower of £6,570 and 70% of average monthly profits.⁠

⁠ You do not need to have made a claim for the first period to be able to make a claim for the second grant, but as with the first, your business must have been adversely affected by Coronavirus.⁠

Full details can be found by clicking here

AllianceCA makes sure all our clients get useful and practical tax advice that they can act on. ⁠ ⁠

Come and have a word. ⁠ ⁠

#AllianceCA #tax #SEISS #greatadvice #thankyouNHS

Government Bounce Back Loans are now available

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It’s finally hereFollowing the criticism of the difficulty in applying for the government’s earlier Coronavirus Business Interruption Loan, the government has now launched it’s bounce bank loan scheme, which is reputed to be far quicker and simpler to apply for.

The attractive points of this loan is that it is interest free for 12 months, and 100% guaranteed by the government with no personal guarantees required. Full details are below:

Please find below details of the government’s bounce back loan scheme. You can approach the majority of high street bank with regards to borrowing.

 

What is it and how can I get hold of the money?

The Bounce Back Loan Scheme (BBLS) provides lenders with a government-backed guarantee of 100% to offer loans of up to £50,000 to businesses across the UK that are losing revenue as a result of the COVID-19 outbreak.

It is administered by the British Business Bank and made available to businesses via the majority of high street banks. It is currently open until 4 November 2020.

 

Key features of the scheme

  1. From £2,000 to £50,000 facilities, up to 25% of turnover, for eligible businesses, regardless of annual turnover.
  2. Facilities: term loans
  3. Repayment terms: six years, and early repayment is permitted
  4. Interest rate: 2.5% per annum. No interest is payable in the first 12 months.
  5. Personal guarantees: No personal guarantees. No recovery action can be taken over the borrower’s main home or primary personal vehicle but, for sole traders or partnerships, other personal assets may be at risk of recovery action.
  6. 100% guarantee: The scheme provides the lender with a government-backed guarantee (100%) against the outstanding facility balance (principal and interest).
  7. The borrower always remains 100% liable for repayment of the debt.
  8. The borrower must self-declare they meet the eligibility criteria and make certain confirmations.

 

Eligibility and additional features

Be careful as some of the usual consumer protections do not apply, including those under the Consumer Credit Act 1974.

 

A business must confirm:

  1. It is a UK limited company or partnership, or tax resident in the UK, that was carrying on business on 1 March 2020
  2. More than 50% of its income is derived from its trading activity
  3. The loan will not be used for personal purposes but as an economic benefit for the business
  4. Whether or not on 31 December 2019 it was a ‘business in difficulty’ and does not breach state aid restrictions. If it was a ‘business in difficulty’ then, in addition, the facility will not be used for export-related activities. Get in touch if you want more details on this.
  5. It is not in bankruptcy, debt restructuring proceedings or liquidation
  6. Its understanding of losses that may be incurred, impact on credit rating, reduced consumer protection and that the lender will not assess affordability
  7. A business will be subject to standard checks such as customer fraud, Anti-Money Laundering (AML) and Know Your Customer (KYC) checks. A lender may require other information eg self assessment tax returns.

Businesses that have utilised the Coronavirus Business Interruption Loan Scheme (CBILS), the Coronavirus Large Business Interruption Loan Scheme (CLBILS) or the Bank of England’s Coronavirus Corporate Financing Facility (CCFF) cannot also use the BBLS unless that loan will be refinanced in full by the BBLS.

If you’d like to find out more, please get in touch with Sharon, 0203 151 2354 .

 

 

How to declare undisclosed property income

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