The New South Wales (NSW) government has launched the summer stock guarantee scheme, allowing small and medium enterprises (SMEs) some assurances as they prepare to reopen.
The scheme will allow businesses grants of up to $20,000 if COVID restrictions change and they are unable to trade, leading to perishable stock going to waste.
A business can also claim $10,000 for reduced capacity to sell non-perishable items if a local lockdown occurs and they are impacted.
The scheme is available for SMEs with a turnover of between $75,000 and $50 million a year.
Premier Dominic Perrottet said these measures were key to giving businesses the confidence to open up and plan for the future.
“Now that we’ve reached the 70 per cent double vaccination target, it’s wonderful to see businesses reopening their doors and welcoming back customers,” Perrottet said.
“These measures will give businesses and workers confidence to purchase stock and invest for the future knowing their doors will remain open as we get our economy firing again.”
New scheme welcomed
The news of the grants has seen a positive reaction as SMEs look to now stock up on perishable items as we head into the summer season.
“The NSW government’s support for businesses to invest in stock will provide them with confidence as they prepare for a busy festive season and summer holiday period,” ANZ group executive Australia retail and commercial Mark Hand said.
“The policy comes at a crucial time as businesses plan for the Christmas and New Year period, which provides up to 50 per cent of annual turnover for some small businesses in the retail and hospitality sectors.”
This commitment from the NSW government comes after the Federal Government recently announced it had expanded its Small and Medium Enterprise loan guarantee scheme, enabling more businesses access to loans at reduced rates.