QRIDA – Extraordinary Bushfire Assistance Loans

This program aims to support small business owners, primary producers and non-profit organisations directly affected by the 2019-20 bushfire disaster events. It is intended to help eligible entities pay for costs of repairing or replacing assets lost or damaged because of the disaster and to provide working capital to assist entities meet expenses.

The features of the loan are:
- Loan amount: Maximum of $500,000.
- Maximum term: Up to ten years.
- Repayments: The first two years for the term of the loan do not require repayments of either principal or interest. Following the initial two years, principal and interest repayments apply.
- Security: A loan under the scheme must be secured by a mortgage of land and other assets satisfactory to QRIDA.
- Fees: No establishment fees, no account maintenance fees and no fees for early payout.
- Interest rates: The annual interest rate from the third year is 0.82%.

The amount of loan assistance available is based on an assessment of the applicant’s financial position, including any amount recoverable under an insurance policy; and cannot be more than the amount of net loss caused by the disaster.

The program has been activated for Queensland affected bushfires, September to December 2019. Please refer to the Guidelines for the list of eligible local government areas.

Eligible applicants must:
- Be a small business owner, primary producer or a non-profit organisation.
- Have suffered, as a direct result of the eligible disaster.
- For assistance to refinance an eligible commercial loan, have held a commercial loan in relation to carrying on a primary production enterprise, small business or non-profit activities immediately before the disaster event.
- Demonstrate reasonable prospects of long-term viability with the assistance given (this will be assessed in relation to the expected cost of recovery and projected cash flow shortfalls).
- For assistance other to refinance an eligible commercial loan, have used all liquid assets and normal credit sources up to normal credit limits.
- Be unable to, from their own resources and without assistance under this scheme.
- Have not received another concessional loan for loss or damage that was related to the eligible disaster.
- Provide security that is to the satisfaction of the authority (QRIDA).

Applications from businesses that employ 20 or more full time employees but have a turnover of less than $50 million may also be considered following submission to the National Bushfire Recovery Agency via the Queensland Rural and Industry Development Authority.

Please refer to the Guidelines for the complete eligibility requirements and list of defined eligible disaster areas.

Eligible activities include:
- Re-establish the normal operations of the business.
- Asset replacement: Costs of restoring and/or replacing damaged assets in accordance with current codes and standards.
- Working capital: Essential expenses while the business returns to its normal level of trading.
- Refinancing a commercial loan.

Please refer to the Guidelines for the complete list of eligible activities and costs.