Over 36,000 entrepreneurs have sought financial aid

The compensation scheme for small businesses and the self-employed, set up as part of a series of coronavirus relief initiatives passed on March 19, has already had more than 36,000 applicants.

According to the Danish Business Authority, 36,066 self-employed and 332 freelancers have so far submitted applications for financial assistance to cover the period from March 9 to June 8.

The company must have been established by March 9 in order to be eligible for compensation.

Seen as a positive
The business minister, Simon Kollerup, sees the enormous wave of applications from desperate entrepreneurs as a positive development.

“This applies not least to the self-employed and freelancers who have been severely affected by the fact that the streets are empty and the orders do not flow at the same pace as before,” he said.

“Some may have even lost their income from one day to the next. I know many carry a heavy burden, which is why I think it is incredibly positive to see the government’s compensation scheme being used.”

Financial requirements
The government scheme allows small businesses and the self-employed who have experienced a fall in revenue of 30 percent or greater to receive compensation for 75 percent of their lost revenue.

However, there is a maximum of 23,000 kroner per month in compensation for the self-employed. The self-employed person must also have a maximum of 10 full-time and employees, along with a personal income not exceeding 800,000 kroner in 2020.

Other initiatives
The scheme has not been the only initiative aimed at supporting small businesses and the self-employed passed during this time period.

Other coronavirus relief measures have included the deferral of VAT and taxes, loan guarantee schemes, salary compensation and compensation for fixed costs.