How can I get a government business loan?
There are a number of Federal and state level initiatives available to support small businesses who require financial assistance during the COVID-19 crisis. Some are offering government small business loans to qualifying businesses, others are providing financial support in different ways. Further information and how to access each of these support initiatives (including government business loans) can be found below.
- The Federal Government is offering unprecedented support for eligible businesses – from Job Keeper subsidies to support for apprentices, early access to superannuation and tax incentives. Find out more on the government’s COVID-19 support page.
- In Queensland, eligible businesses and non-profit organisations can apply for up to $250,000 as part of a $500 million COVID-19 Jobs Support Government Loan scheme aimed to keep employees and maintain operations.
- In Victoria, state-based measures include a Business Support Fund that offers a small business grant to eligible Victorian businesses which can be used to support business continuity. This factsheet summarises the Economic Survival Package.
- Tasmanian small businesses affected by the impact of COVID-19 can benefit from a range of support including business grants and government small business loans during the coronavirus. More information about government loans for small business in Tassie is available here.
- For the range of programs, small business grants and government loans for small business in the NT, visit their business support page here.
- The WA Government has put together a small business stimulus/relief package including small business grants and other financial incentives during COVID-19. More information is available here.
- Eligible SA businesses can take advantage of the Jobs Rescue Plan during the coronavirus including government small business loans, payroll tax relief, fee waivers and other measures designed to minimise the impact of the crisis on small businesses in SA.
- In the ACT, the COVID-19 Economic Survival Package aims to help small businesses protect as many jobs as possible.
How do small businesses get funding?
Under normal economic circumstances, small businesses can get funding from a broad range of sources. These include funding from financial institutions with options like business loans, line of credit, and business credit cards. Funding can also come from investors, personal savings, family and friends, and fundraising options like crowd funding.
During the current economic situation brought about by coronavirus, small businesses have a number of additional options to support their cash flow. For information on support from government, start with the Federal Government COVID-19 support page and check out the individual state government websites for more information on the government small business loans available.
Is it hard to get a small business loan?
Under normal economic circumstances, getting a small business loan can be a hassle-free experience – Prospa usually requires minimal documentation, you get a quick decision and funding can be possible in 24 hours. During this challenging time, we continue to lend responsibly to small businesses and are committed to managing any requests in an appropriate and supportive way. Due to the uncertainty around the spread and duration of COVID-19, we are temporarily adjusting our lending policies and have made some interim changes to the industries we will support and the amount of funding we will extend. As always, we will conduct individual assessment of each applicant business and provide funding based on your individual circumstances. Contact Prospa to find out whether your business is eligible for a small business loan on 1300 882 867.
Can I get a business loan with no money?
When you apply for a small business loan with Prospa, one of the application criteria is that you can demonstrate monthly turnover of $6,000 or more over the most recent 6 months. This income is important, because you need to demonstrate that you have the capacity to repay the loan. If you don’t have the cash flow, you may not be able to meet the loan repayments. Federal and state governments are offering government small business loans – check out their websites to see if you are eligible.
How do I get a first time business loan?
To apply for a Small Business Loan or Business Line of Credit funding with Prospa you need to be an Australian Citizen (or permanent resident) over 18 years, own an Australian business (with a valid ABN/ACN) and be able to demonstrate up to 2 years of trading for a new business (this may be less if you have purchased an existing business). If you want to apply to borrow $150,000 or more, you will also need to provide some additional financial information including a P&L and balance sheet. You can find out if you qualify to apply for a business loan with Prospa by calling 1300 882 867.
How can I get support from the government?
If you are a small business requiring financial assistance due to the economic effects of the coronavirus, there are a number of options. The Federal and state governments have announced a range of support measures including government small business loans, wage subsidies, tax incentives, small business grants and income support. Find out more on the government’s COVID-19 support page here.
What are the funding options for small businesses?
During the COVID-19 crisis, the Federal Government has provided extensive small business support initiatives. These aim to help small businesses get through the economic slowdown currently being faced by businesses across the nation. Find out more about what’s available here. Prospa is continuing to lend responsibly to small businesses and we are committed to managing any requests in an appropriate and supportive way. Call 1300 882 867 to discuss your situation and find out whether your business is eligible for funding.