A summary of the financial support available to help you, your business and employees in times of difficulty, to recover from the effects of COVID-19.
All businesses can operate, provided they can meet the rules to operate safely. Businesses are still required to display the official QR codes for the NZ COVID Tracer app at all alert levels.
For more information, check out the business.govt.nz page for Workplace operations at COVID-19 Alert Levels.
There is information about further support for your business below. If you are concerned about your finances or your business because of COVID-19, you can contact the free Business Helpline for North Island 0800 500 362 or South Island 0800 505 096.
If you have staff who can’t work because of COVID-19 you may be eligible to apply for the Leave Support Scheme.
There are a few COVID-19 financial support schemes available to businesses, depending on your situation. Learn more about each type of support and where you can find more information.
On this page:
The COVID-19 Leave Support Scheme provides a payment to businesses to pay their workers who need to take leave due to COVID-19 public health guidance. This is also available for sole traders.
If you, or your staff have been told by a health official to self-isolate and cannot work from home, you can apply for the COVID-19 Leave Support Scheme. This support will be paid as a lump sum covering two weeks (you can reapply if required).
Under changes to this scheme, businesses will no longer be required to show an actual or predicted revenue drop or their ability to support an employee was negatively impacted by COVID-19, to be eligible to access the payment.
Leave Support Scheme (external link) — Work and Income
Government will provide one-off loans to small businesses, including sole traders and the self-employed, impacted by COVID-19 to support their cash flow needs. Applications are open until 31 December 2020 and can be made through myIR.
The small business cash flow loan scheme will provide assistance of up to $100,000 to businesses employing 50 or fewer full-time employees. This includes sole traders and self-employed businesses.
Details of the loans include:
Use the small business cash flow loan scheme eligibility tool and find out how to apply.
Applications are open from 12 May until and including 31 December 2020 through myIR. Go to the 'I want to' section, and select 'Apply for the small business loan'.
myIR (external link) — Inland Revenue
If your businesses doesn’t have a myIR account, you will need to create one to apply.
Most applicants will receive their loan payment in full from Inland Revenue within five working days. You don’t have to accept the full loan amount you’re offered, and can decide to take a smaller loan.
If you’re having difficulties meeting your tax obligations due to COVID-19, Inland Revenue has various support schemes and options to help.
COVID-19 business and organisations (external link) — Inland Revenue
ACC levy invoices for the 20/21 financial year would usually have been sent from 1 July, but will now be sent in October. ACC has more information about delayed invoices and guidance to help.
If you are having trouble making ACC payments, ACC has guidance to help. If you are no longer in business, it’s also a good idea to let ACC know.
Support is available for people who lose their jobs. If you lose your job (including if you are self-employed) from 1 March 2020 to 30 October 2020 due to COVID-19, you may be able to receive the COVID-19 Income Relief Payment. Find out if you’re eligible and how to apply at Work and Income.
COVID-19 Income relief payment (external link) — Work and Income
Business debt hibernation is a government initiative created in response to COVID-19. It helps companies, trusts, and other business entities affected by COVID-19 to manage their debts.
If business debt hibernation is right for your business, this is how it helps you manage your debts.
Use the business debt hibernation decision tool to find out if it’s a good option for your business and if so, how to get started.
More small and medium-sized businesses may be eligible for the Business Finance Guarantee scheme, with a simplified and expanded scheme now in place.
Participating lenders can provide new loans, increased limits to existing loans or a revolving credit facility to eligible businesses. The scheme supports lenders by government taking on the default risk of up to 80% of the loan.
Changes to the scheme mean the loans can be used for capital purchases and projects relating to, responding to or recovering from the impacts of COVID-19. This means businesses can use the credit, for example, to modify their premises to operate at different alert levels or meet changing demands. Banks can lend to businesses with an annual revenue of up to $200m, while loans are available from non-bank lenders for businesses with annual revenue up to $50m. There is a lending limit of $5m, or $3m from a non-bank.
The Crown has also clarified that it will guarantee its share of a scheme loan without a personal guarantee – though lenders make their own lending decisions and may have their own requirements. Borrowers are still liable to pay the loan back in the usual way.
Callaghan Innovation’s R&D Loan Scheme is to help businesses continue their research and development activities impacted by COVID-19.
Details of the loans include:
Businesses are eligible if:
R&D Loan Scheme (external link) — Callaghan Innovation
North Island 0800 500 362
South Island 0800 505 096
The Resurgence Wage Subsidy Scheme was available from 1pm 21 August 2020 and closed at 11:59pm on 3 September 2020. This supported employers, the self-employed and sole traders, who were further impacted by COVID-19 due to the increased Alert Levels.
The Resurgence Scheme provided a two-week subsidy to eligible businesses, self-employed and contractors. Businesses must have experienced an actual or predicted 40% revenue drop for any consecutive period of at least 14 days within the period of 12 August to 10 September compared to a similar period last year.
Resurgence Wage Subsidy (external link) — Work and Income
The Wage Subsidy Extension finished on 1 September 2020. The Wage Subsidy Extension payment was available for 8 weeks, to support employers, including sole traders, who were significantly impacted by COVID-19 after the initial Wage Subsidy ended. Businesses had to have experienced a minimum of 40% decline in revenue over a 30-day period within 40 days prior to applying for the extension, compared to the closest period last year.
Work and Income has more information and help on Wage Subsidy Extension applications.
COVID-19 Wage Subsidy Extension (external link) — Work and Income
Visit Employment NZ for information on obligations for paying your staff and tax treatment.
Wage subsidies and pay (external link) — Employment NZ
The financial support tool from Unite for the recovery can help you find out what financial help may be available to you.
The tool will take you through a series of questions about to find out more about your personal situation including:
Financial support tool (external link) — covid19.govt.nz
The COVID-19 Consumer Travel Reimbursement Scheme has been established to support travel agents and wholesalers while they recover refunds and credits owed to New Zealanders travelling overseas.
Participating travel agencies and wholesalers will be reimbursed for:
Reimbursement is available for refunds and credits processed from 14 August 2020, for bookings confirmed on or before 14 August 2020.
The Ministry of Business, Innovation & Employment has more information on who is eligible and how to apply.
COVID-19 Consumer Travel Reimbursement Scheme (external link) — Ministry of Business, Innovation & Employment