New Coronavirus Stimulus Package Update


New Coronavirus Stimulus Package Update

Posted on March 31, 2020 by admin

Well, this past week has been one of the busiest and difficult weeks I have ever experienced in my career. I’ve experienced many economic events, from the 87-stock market crash, 1992-93 recession, Asian financial crisis, the Russian bond crisis, Y2K. Tech Wreck, Sep 11, and the GFC, however, I’ve never seen widespread, indiscriminate closure of so many businesses. The effect of these closures has not yet filtered down to everyone, but we will all be affected and the worse is yet to come. The government stimulus is helpful, but it won’t be enough to save every business. You must take control of your business and be proactive in making decisions. I know many of you are very stressed about the situation you are in and we are here to help you… so how can we help?

WE NEED YOUR HELP TO HELP YOU 

  • The first thing I will mention is we would be grateful if you would read our emails we are communicating to you; these are not marketing emails but rather important information for you. Many of the queries we are getting have been communicated in our earlier emails. You can find a history of our communication on our website https://insightmp.com.au/blog/
  • For us to be able to help you, we will need your help in making payment of our invoices. This cash flow is vital for us to be able to service you and your businesses (read further below on how we are going to support you). You will all be getting sizable cash grants, we ask you to please prioritise our fees for payment, so we can continue helping you for the ensuing months where further grants will be provided.

HOW WE WILL HELP YOU

  • From April 1, all invoices we issue will be at a 20% discount if paid within 14 days. If you can’t make the payment, we will revert to a 10% discount and re-issue the invoice. We will review this monthly. If your business is experiencing a severe cash flow crisis please email me and we will work with you to get through this period.
  • Many of you will require letters from us to claim for government financial support and freezing payments with credit providers. We have drafted these letters in advance, please email us at tax@inisghtmp.com.au and we can assist with these letters.
  • Some business may want to take advantage of small business loans issued by your bank up to $250,000. I rang our bank as an enquiry to see what was involved, and at minimum, you are going to need your 2019 financials in final. Much of this work is completed across our clients but if yours are not yet complete and you need them fast-tracked please email us and we will get back to you. If you’re thinking this might be for you, please read the release https://treasury.gov.au/sites/default/files/2020-03/Fact_sheet-Supporting_the_flow_of_credit_1.pdf. This will require our involvement in helping with cashflow forecasting and indeed the letter of good character.
  • Many of you will have new tax liabilities to the ATO, and the ATO is going to be lenient on accepting these arrangements, we can enter payments plans for you, or you can call yourself and arrange these saving you on our fees and our time. The deferral arrangement you enter will not attract any interest charges up until 12th Sep 2020.
  • Many of you will have new tax liabilities to the ATO. We have done a bulk communication for all of our clients to be registered on a deferral payment program. The deferral arrangement will not attract any interest charges up until 12th Sep 2020. We encourage you where possible to continue making some payments to your ATO liabilities.

​​Word of warning watch out for the debt trap. The loans from the bank, the ATO and even suppliers to your business are adding to your debt position. You must take action to cut your costs and spending, you will need to make significant sacrifices (yes, even personally) if you are to get through this and have a business worth running on the other side.

To find out more please read:
https://treasury.gov.au/sites/default/files/202003/Fact_sheet_supporting_businesses_1.pdf

YOU MUST REGISTER TO PARTICIPATE IN THE JOB KEEPER SCHEME YOU CAN DO THIS CLICKING BELOW YOU WILL NEED YOUR ABN QUALIFY
https://www.ato.gov.au/general/gen/JobKeeper-payment/?=redirected_JobKeeper

LEGAL HELP

Do you need quick legal advice in plain English? Have you been forced to close your business due to the measures enforced by the government and are uncertain as to what to do or what you can do? If so, Tyrone Dutt can help and is offering to provide you with a complimentary virtual consultation so that you don’t have to leave your home or business.

Matters covering:

  • retention or redundancy of staff;
  • accumulating debts;
  • dealing with landlords and suppliers; and
  • general support for your business.

 

If we can help any further or you have any further questions, please don’t hesitate to contact us.

Be Safe,
Christopher Fellas

  • Level 10
    60 York Street
    Sydney NSW 2000

  • 333 Collins Street,
    Melbourne VIC 3000

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