Solidarity Fund: Details for December

The strengthening of the solidarity fund was announced by the Head of State during his televised address on November 24. Since then, details have been provided by the Ministry of Economy and Finance. There are four situations leading to different compensation schemes for the month of December.

Companies not allowed to open

Bars, restaurants, nightclubs, and sports facilities are most concerned by the closure order. Therefore, regardless of their size, these companies closed by public order during the month of December 2020 may receive up to € 10,000 to compensate their loss of turnover by comparison to their turnover of December 2019 or 20% of their turnover of December 2019 without however surpassing € 200,000.

According to ministry, this financial assistance will be maintained until these businesses are authorized to reopen.

Businesses authorized to open but heavily hit by the crisis

Here, we find companies in the sectors hardest hit by the crisis, such as tourism, events, culture, sport, and hospitality, which, although open, continue to suffer from a big activity decline. These companies will be able to benefit from the solidarity fund provided they record a loss of turnover of at least 50% in December 2020, compared to December 2019. They will then be able to choose between compensation for their lost turnover capped at € 10,000 and compensation equivalent to 15% of their December 2019 turnover. This rate is increased to 20% when their turnover loss exceeds 70%.

Suppliers of tourism companies

Companies indirectly affected by the crisis, which will have lost more than 50% of their turnover in December 2020 compared to 2019, will be able to receive aid equal to 80% of their loss within the limit of € 10,000. This assistance is applicable only to companies with less than 50 employees.

For all other companies

Companies authorized to open, with less than 50 employees, which have suffered a loss of more than 50% in december 2020, will also be able to obtain assistance without surpassing € 1,500 even if they don’t operate in the worst affected economic sectors.