Businesses struggling or ordered to close during the COVID-19 pandemic can now apply for a Yukon government grant to pay rent and other fixed costs.

“To Yukon business owners: I recognize the extremely difficult circumstances that you’re facing today,” Ranj Pillai, the minister of Economic Development, told a press conference last Thursday afternoon.

“This government stands by you, and is working around the clock to support you.”

Under the Yukon Business Relief Program, businesses experiencing a 30 per cent reduction in revenue will receive up to $30,000 per month. The grant will cover a business’ fixed costs from March 23 to May 22.

Eligible fixed costs include commercial rent or lease; water, sewage and waste disposal; electricity and heating fuel; telephone, cable, Internet and satellite; software, data services and subscriptions; business insurance; and pest control.

Businesses will receive between 75 and 100 per cent of their fixed costs, with businesses ordered to close guaranteed 100 per cent of costs up to the $30,000 monthly cap.

The application is due on June 1.

Non-government organizations (NGOs) are not eligible for the funding. Pillai noted that individual government departments will continue to flow funds into the non-profit sector.

The program is expected to cost the government up to $10 million, bringing the total cost of COVID-19 economic support to $21.7 million thus far.

Pillai said the grant program is intended to help Yukon businesses stay afloat during the pandemic. It was organized in collaboration with the recently established Business Advisory Council.

“We have seen businesses adjust and readjust to the changing nature of this pandemic,” Pillai said.

“It’s a real testament to how nimble and determined Yukoners are.”

The government is expecting 4,000 applications for funding.

Personal services providers, which were ordered to close on March 25 by Dr. Brendan Hanley, the territory’s chief medical officer, will see their applications prioritized.

Personal services include hair salons, barber shops, tattoo parlors, nail salons and massage therapists.

Melanie Graham, the owner of Kutters Hairstyling, said she and other personal service and bar owners have been advocating for relief since the forced closure last month.

“It’s an absolute relief, I’m just thankful, really thankful right now,” Graham told the Star.

Graham said the week before Kutters was ordered to close, she was already planning on shuttering her business.

“Interestingly enough, I thought I was ready for it, but it was still shocking, I guess,” Graham said.

“It’s one thing to decide on your own; it’s another thing for someone else to say, ‘No, you can’t work anymore.’”

She said the Yukon personal services industry banded together almost immediately after the mass-closures to brainstorm solutions.

Soon afterward, bar and restaurant owners were brought into the fold.

“Working together, we managed to get a couple people appointed to the Business Advisory Council, which I think was so important,” she said.

“There was no representation for us, who were actually forced to close our doors.”

Graham said the network of 25 to 30 business owners worked to communicate the closure’s effects to the government. They compiled data outlining the imminent threat of fixed-cost payments, like rent and utilities.

“We’ve been sitting on pins and needles, kind of waiting, because not being able to pay your rent and phone bill is scary,” Graham said.

This funding will ease the pressure on Yukon businesses forced to take out loans, she added.

“A lot of people don’t necessarily want to go into debt,” she said.

“What the Yukon government is doing today makes it easier to stomach taking out a $40,000-loan.”

While a 75 per cent wage subsidy is now available from the federal government, Graham pointed out that this isn’t helpful for closed businesses that can’t afford the payroll taxes.

She said she is grateful that the government listened to the plights of business owners.

“I am so happy, and I know most of us are,” she said.

“Now we need to work with government to figure out how we’re going to come back, when the time comes.”

Stacey Hassard, the interim Yukon Party leader, said he is happy to see the government take action to help businesses, but he had hoped there would be a quicker roll-out of the application process.

When business owners immediately reached out to the government following the funding announcement, Hassard told the Star last Thursday afternoon, they were told an application hadn’t been established yet.

“There’s no information about how to even apply,” Hassard said.

“(This government) keeps making announcements but they don’t have any information to back it up.”

A government spokesperson was not available for comment this morning regarding whether the application process was finalized over the Easter weekend.

Hassard also criticized the government for not rolling out economic support quickly enough.

“It’s good to see they’re finally moving, but I think the unfortunate part is it’s been slow in coming,” Hassard said.

“I appreciate that it’s a lot of work, and the staff in the departments have certainly been working hard to get to where we are.”

NDP Leader Kate White called the announcement “great news” for small businesses.

She noted that her party had called for a business grant program on March 30 – which at the time seemed to go unnoticed by the government.

White said there was no discussion among the parties regarding the relief efforts.

“I’m relieved to know the Yukon government picked up on something we asked for, two weeks ago,” White said.

“I wish they had answered that call two weeks ago, because the stress that people are put under right now – if there’s ever been a darker time as a society and a planet, then I don’t know it.”