A total of €160 million in extra funding to help businesses during the pandemic has been agreed at Cabinet.

An additional €10 million will be allocated to the COVID-19 Products Scheme. Firms researching or manufacturing PPE, sanitisers, tests, equipment or other medicinal products are eligible for funding of up to 50% of their capital costs, with the goal of increasing supply and reducing import-dependence.

A €60 million scheme, called the COVID-19 Business Aid Scheme (CBAS), will provide grants to businesses ineligible for the Government’s other existing schemes, and is designed to help with fixed costs.

Wholesalers, suppliers, caterers and events companies down 75% or more in turnover will benefit.

The Government also approved an additional €90 million for the Sustaining Enterprise Fund, which offers funding of up to €800,000, with €200,000 or 50% in non-repayable grants to eligible manufacturing and internationally traded services companies.

Focus

Tánaiste Leo Varadkar said the move will have a particular focus on firms that do not qualify for the weekly CRSS grant from the Revenue Commissioners, or existing sectoral schemes, in areas such as the arts, transport and tourism.

“A new scheme, the CBAS, will help some businesses that aren’t eligible for existing grants, largely due to the fact that the premises they operate from have not been closed to the public.

“We estimate that this will help approximately 7,500 businesses. While the grant is modest, it will be of substantial assistance to smaller businesses with some of their fixed costs, such as rent, utilities and security.

“We’ve seen huge demand for the Sustaining Enterprise Fund, which is there to support our manufacturers and exporters which have experienced a drop in orders. The scheme has protected 22,000 jobs all across the country to date, and we hope this €90 million will secure many more,” he said.

CBAS will be available to companies, self-employed, sole traders or partnerships with a minimum turnover of €50,000, and which are not owned and operated by a public body.

Tax

The business must have a current eTax Clearance Certificate from the Revenue Commissioners.

The turnover of the business over the claim period must be estimated to be no more than 25% of the average weekly turnover of the business in 2019.

The business must also intend to resume trading in full once restrictions are eased.