Government Financial Relief Funds

1. Temporary Employee Relief Scheme (TERS)
   Q: What is it?
   A: The scheme helps you pay your staff during the COVID-19 pandemic, avoiding layoffs. The UIF (Unemployment Insurance Fund) can fund your business if affected by COVID-19 through TERS.
   Q: How does it work?
   A: TERS works like maternity benefits. If you can pay a portion of your employees' salaries, TERS will top it up to 100%. Employees receive between 38% and 60% of their salaries, capped at R17,702 per month. No salary will fall below the sector minimum wage.
   Q: Do I qualify?
   A: You qualify if your company is registered with UIF, compliant with UIF legislation, and making monthly contributions. Non-compliant businesses can pay outstanding contributions and update their declarations.
   Q: How do I apply?
   A: Submit documents via email to Covid19claims@labour.gov.za. Key documents include employee proof, payroll evidence, certified bank statements, registration with the Central Supplier Database, and a power of attorney. Upon submission and approval, payment will be processed after a signed agreement (MOA).
2. Department of Small Business Development’s Debt Relief Fund
   Q: What is it?
   A: A debt-relief scheme for SMMEs negatively impacted by COVID-19, provided by the Small Business Development Department of South Africa.
   Q: Do I qualify?
   A: Businesses must be registered with CIPC before February 28, 2020, 100% owned by South Africans, with 70% South African employees. Priority is given to businesses owned by women, youth, and people with disabilities.
   Q: How do I apply?
   A: Register on the National SMME Database (https://smmesa.gov.za), complete the online application, and submit required documents like proof of COVID-19 impact, bank statements, FICA documents, and more.
3. SEFA - Emergency Funding Package
   Q: What is it?
   A: Over R500 million is available to assist small and medium businesses through three interventions administered by the Small Enterprise Finance Agency (SEFA).some text
   • Business Growth Facility: Focused on businesses producing/supplying health-related products or goods in short supply due to COVID-19.
   • SMME Relief Finance: Soft loans to keep businesses afloat during the pandemic.
4. Q: Do I qualify?
   A: Businesses must be 100% South African-owned, 51% black-owned, with 70% South African employees. Priority goes to businesses owned by women, youth, and people with disabilities.
   Q: How do I apply?
   A: Apply via www.smmesa.gov.za and submit supporting documents to info@sefa.org.za.
5. Tax Relief
   Q: What is it?
   A: Tax relief includes a subsidy of up to R500 per month for employees earning below R6,500, monthly employment tax incentive reimbursements, and the ability for businesses with turnover below R50 million to delay 20% of PAYE liabilities and a portion of provisional corporate tax.

Essential Services Certificate
Q: What is it?
A: If your business provides essential services and you want to continue trading during the lockdown, you need an approval certificate from the Department of Trade, Industry, and Competition via the CIPC Bizportal (www.bizportal.gov.za).