Loss of revenue

Pennywise

JJC1956 said:

Pennywise said:

MattMattMattUK said:

grund1g said:

Thanks for your reply. I've had a look at the government's website and there's nothing for help in my situation. Its just wrong when there are people out there milking these grants for every penny they can get.

Who is exactly "milking these grants"? 
Note I say that as a limited company owner where revenue was down £430k over the last fourteen months due to Covid related disruption. I have received almost nothing from the government, but that is life. 

Plenty of people have done well out of the grants.  I've done several sets of sole trader accounts (electrician, kitchen fitter, garage mechanic, potter, pie shop, guest houses, etc) over the past couple of weeks.  They all claimed the £10k business rates grant, SEISS, local authority ARG grants, etc., typically totalling around £25k.  Nearly all ended up better off than a "normal" year as the total grants exceeded the losses due to covid.  All claims are legitimate and they qualified for each grant as claimed according to the rules/criteria applying to each grant.  The electrician and kitchen fitter both bought new vans to avoid paying higher rate tax and having to repay child benefit, the others all bought new equipment, etc. to get their tax bills lower.
Then, I've also done some other sets of accounts, including a driving instructor, rent a chair hairdresser, dog walker, who've not been eligible for any of the grants and have seen their incomes fall by up to 75%.  Their only choice was universal credit and most couldn't claim because of their household income, i.e. spouse earning more than the limit.  
The unfairness and scatter gun approach of the grants and support schemes is crazy and I hope that it's reviewed in the forthcoming public enquiry.

So how would you have dealt with the situation, and distributed funding to suit everyone? 

I'd have learned from the initial round of grants, i.e. look at the inequalities and anomalies, and rectified the problems for later rounds of grants.  No one argues that it had to be done very quickly at first, but there's no excuse for the Treasury not dealing with the well documented/evidenced inconsistencies/unfairness over a year later.  All of the main "excluded" reasons have pretty simple answers and resolutions - there just wasn't any political will to deal with them.

macman

grund1g said:

Thanks for your reply. I've had a look at the government's website and there's nothing for help in my situation. Its just wrong when there are people out there milking these grants for every penny they can get.

But you haven't told us 'your situation'. Just that you've lost turnover. The most obvious thing you could possibly have done as an employee of a limited company was to furlough yourself and/or other staff? 
It's a bit much to accuse others of 'milking' the grants when for more than a year you appear to have made no attempt to research or apply for anything yourself?

Grumpy_chap

grund1g said:

Grumpy_chap said:

grund1g said:

I am the director of a small limited company. Throughout this pandemic my company has lost almost £1000.00 per month in turnover. Can I claim for this lost revenue?

What type of business do you operate?

What have you claimed so far?  There have been many well-publicised support schemes and, as other said, to only realise that turnover has been impacted 18-months in is rather slow to catch on.

You say your turnover reduced by £1k/month.  How significant is that?  I do not ask in facetious manner, but as a genuine question.  Costs may have reduced also if delivering less output.  Also, for some, a £1k drop in monthly turnover is nearly everything whereas for others the £1k/month drop is less significant, say if normal turnover was £20k/month

When your turnover is only £25 k a year i would say that a £12k drop is quite significant. Still that's life you just have to get on with it.

I agree, a £12k drop in turnover from £25k is significant.  That does not tell us about the impact on profits, though.  How much have costs dropped along with that drop in turnover?

There are support processes in place and people in the forum may be able to point you in the correct direction, but for that to happen you will need to provide answers to the questions that are being asked.