Understanding Small Business Rates Relief: An Overview for Entrepreneurs
If you’re an entrepreneur or a small business owner, you probably know how hard it is to keep up with all the necessary expenses and costs that come with running your own business. One such expense is business rates, which can often be a hefty burden on small businesses. However, there is a government scheme called Small Business Rates Relief (SBRR), which can provide some much-needed support to small businesses in the UK.
What is Small Business Rates Relief?
SBRR is a government scheme that offers qualifying small businesses a discount or complete exemption from paying business rates on their property. Business rates are a tax on non-domestic properties, such as offices, shops, and warehouses, and the amount you pay depends on the rateable value of your property. The rateable value is the property’s open market rental value on a certain date. SBRR is designed to help small businesses by reducing their business rates, offering financial relief to help them thrive, and boosting local economies.
Who Qualifies for Small Business Rates Relief?
To qualify for SBRR, your property must have a rateable value of £15,000 or less. However, if your property has a rateable value between £12,001 and £15,000, the amount of relief you receive will gradually decrease. If your small business uses several properties, the rateable values of all the properties are combined to determine eligibility for SBRR.
How Much Relief Can Small Businesses Receive?
If your small business qualifies for SBRR, you’ll receive a discount of up to 100% on your business rates bill. This means you won’t have to pay anything at all in some cases. However, the amount of relief you receive depends on your property’s rateable value and whether you qualify for other discounts. For instance, if your business uses more than one property, you may be eligible for other business rates discounts, such as rural rate relief.
How to Apply for Small Business Rates Relief?
You can apply for SBRR directly with your local council. You will need to provide some basic details about your small business and your property. The process is straightforward, and you can usually submit your application online. Once the local council receives your application, they will review it to determine whether your small business is eligible for SBRR.
Conclusion
Small Business Rates Relief is an essential government scheme that supports small businesses in the UK. If you’re an entrepreneur or a small business owner struggling to keep up with business rates costs, SBRR could provide you with much-needed financial relief. By reducing or even eliminating your business rates bill, SBRR can help your small business thrive and grow. So, apply for Small Business Rates Relief if you’re eligible and take advantage of the support that’s available.
