Small Business Adaption Grant Program Round 2

June 16, 2020

The Queensland Government is extending the Small Business COVID-19 Adaption Grant Program. As part of Stage 2 of Queensland's Economic Recovery Strategy – Unite and Recover for Queensland Jobs, up to $100 million is being made available to deliver a second round of grants, with half of this funding specifically earmarked for regional small businesses located outside of South East Queensland.

Round 2 will open on 1 July 2020.

The objective of this program is to support small businesses subject to closure or highly impacted by the coronavirus (COVID-19) shutdown restrictions announced by the Queensland Government, to adapt and sustain their operations, and build resilience.

The program aims to see small and micro businesses:

prepare for the safe resumption of trading in the post COVID-19 recovery
continue to meet operating costs
access digital technologies to rebuild business operations and transition to a new way of doing business
respond to online opportunities, where possible, to sustain employment and maintain potential for longer-term growth
upskill and reskill business owners and staff to benefit from new technologies or business models
embrace business diversification to adapt and sustain operations
create or retain employment.

Regional and SEQ funding available

The program is available to eligible businesses throughout Queensland. For round 2, funding is being equally divided between regional Queensland and South East Queensland (SEQ).

South East Queensland businesses

When applying for round 2, you are a South East Queensland (SEQ) business if your principal place of business is located in 1 of the following local government areas:

Brisbane City Council
City of Gold Coast
Ipswich City Council
Lockyer Valley Regional Council
Logan City Council
Moreton Bay Regional Council
Noosa Shire Council
Redlands City Council
Scenic Rim Regional Council
Somerset Regional Council
Sunshine Coast Council
Toowoomba Regional Council.

Regional businesses

You are a 'regional business' if your principal place of business is any other local government areas within Queensland that is not identified as a SEQ location.

Use the eligibility tool to find out if your business is in SEQ or a regional local government area.

Eligibility Criteria

To be eligible, your business must:

have been subject to closure or otherwise highly impacted by current shutdown restrictions announced by Queensland's Chief Health Officer on 23 March 2020
demonstrate you have experienced a minimum 30% decline since 23 March 2020, over a minimum 1-month period due to the onset and management of COVID-19
employ staff and have fewer than 20 employees at the time of applying for the grant (employees must be on your payroll and does not include the business owner(s))
have a valid Australian Business Number (ABN) active as at 23 March 2020
be registered for GST
have a Queensland headquarters
have an annual turnover over $75,000 for the 2018–19 or 2019–20 financial year, or you can provide financial records that show this will be met for recently started small businesses
have a payroll of less than $1.3 million
not be insolvent or have owners or directors that are an undischarged bankrupt.

Only 1 application per round will be accepted from an individual ABN or a financial beneficiary of a business.

Successful applicants from round 1 of this program cannot apply for funding under round 2.

If you have submitted a round 1 application but haven't heard back yet, you are eligible to apply for round 2.

Use the eligibility tool to find out if your business is eligible to apply.

Read the frequently asked questions for more information regarding eligibility.

What will be funded

The available grant amount is a minimum of $2,000 and up to a maximum of $10,000 per eligible small or micro business.

In recognition of the significant impacts of COVID-19 on small businesses, the funding can be used towards the following:

financial, legal or other professional advice to support business sustainability and diversification
continuing to meet business operational costs including utilities, council rates, rent, telecommunication charges, insurance fees, licensing or franchise fees
strategic planning, financial counselling or business coaching aligned to business development and diversification
building the business through marketing and communications activities (e.g. content development – web pages, mobile apps, visual and audio media etc.)
digital/technological strategy development
digital training or re-training and up-skilling employees to adapt to new business models
capital costs associated with meeting COVID-19 safety requirements
specialised digital equipment or business specific software to move business operations online (e.g. logistics program for online ordering).

Note: Grant funds can be used towards any of the above activities occurring from 23 March 2020 onwards, keeping in mind the project must be completed within a maximum of 6 months from the date of approval.

What won't be funded

Non-eligible activities

These activities will not be funded under this program:

applications with a total cost less than $2,000 – all your proposed activities or quotes and invoices must be eligible and be a total of $2,000 or more
business costs otherwise supported by other Queensland and Commonwealth Government financial assistance measures
salaries or wage expenses for your employees, including superannuation or WorkCover
services delivered in-kind (grant funding will only cover services paid for via a financial transaction)
purchase of business assets such as stock or fleet vehicles/machinery
fees for services and/or goods provided by related parties (such as companies with common shareholdings or directorship with the applicant, and employees or immediate family of the applicant)
direct-selling businesses (where sales of another business' goods or services are made in the customer's home, work or other meeting place through methods such as party plan and network marketing)
goods or services purchased, or any payments made, prior to 23 March 2020.

All invoices or quotes from suppliers will be checked to determine if they are genuine (e.g. supplier has as active ABN and the invoices or quotes have not been altered in any way).

Applying small and micro businesses must meet the eligibility and assessment criteria to be considered for funding.

How to apply

Round 2 will open on 1 July 2020

This funding round may only be open for a short period due to demand and will close when the funding allocation is anticipated to be exhausted.

Regional Queensland and South East Queensland will have independent funding allocations and may close at different times.

Get ready to apply by completing the following steps.

Check your eligibility to:

find out if you are eligible to apply for round 2
confirm your business location
subscribe to be alerted when round 2 opens.

Read the application guidelines, frequently asked questions (FAQs) and application tips.
Prepare your application and supporting documentation ready to submit when round 2 opens.
After round 2 opens, return here to lodge an online application (only available after the round opens).

Check & Get Notified

Assessment Process

In addition to meeting the eligibility criteria, applications will be assessed against the following:

funding availability – applications will be processed on a 'first come, first served' basis, and therefore not all applications will be successful
submission of a complete application form, with all requested supporting documentation included
value for money, as determined by the Queensland Government.

Grant payments

Funding will be paid upon approval of your grant application. Applicants will have 6 months to complete their projects and must acquit the total amount of funding received.

Grant recipients may be subjected to a random audit by the Queensland Government (or its representatives) to ensure that the information provided is true and correct. Where it is found that false or misleading information has been provided, penalties may apply, including refunding some or all of the grant funding.