In April 2023, the New Zealand Government announced an additional $25 million in funding to support businesses affected by Cyclone Gabrielle. This funding is in addition to the $50 million already provided to assist the business community with their immediate cash flow needs. In this blog post, we will dive into the details of this funding and how it will help businesses get back on their feet.
In early 2023, Cyclone Gabrielle hit New Zealand's North Island, causing widespread business damage and disruption. Many businesses were forced to close temporarily or permanently, resulting in lost revenue and livelihoods for business owners and employees. The New Zealand Government recognized the impact of the cyclone on businesses and quickly put in place measures to provide financial support.
To assist businesses with their immediate cashflow needs, the New Zealand Government provided $50 million in funding in the aftermath of Cyclone Gabrielle. This support package provided grants of up to $40,000 per business to help cover costs such as rent, wages, and inventory replacement.
The demand for grants from the initial support package was stronger than anticipated, with estimates showing that applications would exceed the available funding. To ensure that businesses continue to receive the support they need, the New Zealand Government approved an additional $25 million in funding.
To be eligible for the additional funding, businesses must have been impacted by Cyclone Gabrielle and have received funding from the initial $50 million support package. The funding is available to businesses of all sizes and industries, including sole traders and self-employed individuals.
Businesses can apply for additional funding through the government's business support website. The application process is similar to the initial support package, with companies required to provide evidence of their loss and expenses.
In addition to the government's support packages, there are other forms of support available for cyclone-affected businesses. For example, the New Zealand Red Cross is providing emergency grants to help cover essential items such as food, clothing, and accommodation.
The additional $25 million in funding approved by the New Zealand Government is a welcome relief for cyclone-affected businesses. This funding, combined with the initial $50 million support package and other forms of support, will help businesses get back on their feet and continue to contribute to New Zealand's economy. Businesses impacted by Cyclone Gabrielle should take advantage of the available support and apply for funding as soon as possible.