Flood Grants And Loans For Business

If your brand or business has been negatively affected by the recent natural disaster, it's worth getting familiar with the relevant flood grants and loans available.

Although Queenslanders from all walks of life are no strangers to going about their business through extreme weather events, It’s safe to say that the recent natural disaster that affected many parts of the state, wasn’t exactly something that anyone had predicted this early into 2022, let alone desired. 

Eleven years on from the devastating flooding of 2011, this time an estimated 15, 000 homes have received water damage in Brisbane alone, with thousands more facing catastrophic emergency levels across South East Queensland and Northern New South Wales. 

With another deluge predicted to be on the way, getting familiar with the relevant flood grants and loans available to businesses can go a long way when it comes to alleviating at least some of the financial pressure. 

Know Your Options For Financial Recovery 

According to the Australia Bureau of Statistics, more than 60% of small businesses cease operations entirely within their first three years of trading. While this can happen for a multitude of reasons - and sometimes even outside of their control - even those with the greatest of potential can fall flat thanks to a lack of cash available to meet their expenses, particularly after a natural disaster. 

Thankfully, there are a wide range of flood grants, loans and other forms of financial assistance available to businesses who have been affected by the recent events that saw large sections of South East Queensland go underwater. 

Disaster Assistance Loan - Available to assist primary producers, small businesses and non-profit organisations with re-establishing normal operations, the Disaster Assistance Loan program can provide funds up to $250, 000 with loan terms for up to ten years on offer. Concessional loans are provided to businesses as a means to help them get back on their feet to repair or replace damaged buildings or equipment, but must be secured by a mortgage of land or other assets. 

Essential Working Capital Loan - Also designed for similar demographics as the Disaster Assistance Loan, the Essential Working Capital Loan program is an initiative by offering concessional loans to assist with essential working capital expenses such as paying salaries or wages, paying creditors, paying rent or rates, and buying goods essential to keep the business operating. If needed, up to two years interest only may be available with loans up to $100, 000 on offer for a term of ten years. 

Extraordinary Disaster Assistance Recovery Grant - Grants of up to $50, 000 are available for affected small businesses following the South East Queensland rainfall and flooding to hire or purchase equipment and materials, clean up, remove debris, replace or repair damaged infrastructure and stock and other costs associated with the recovery process, or $75, 000 for primary producers. These flood grants have extensive criteria that need to be met prior to approval, and will require significant evidence during the application process. 

If you are struggling to navigate your options for flood grants, funding and loans, then it may be reassuring to know that you’re not alone. In fact, many businesses of all shapes, sizes, industries and sectors enlist the services of an accountant and business coach in order to free up their time, while knowing that their financial obligations are already taken care of by the professionals.