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Sustainable Tourism Business Grants

Guidance Notes for Businesses

What is the scheme?

The objective of this grant scheme is to improve the sustainability of the tourism industry in southern Shropshire by raising the quality of facilities and improving the performance of tourism businesses. The aim is to encourage visitors to stay longer and return more often and thereby support the local economy and environment.

The scheme offers grants of up to £7,500 (or 15% of project costs, whichever is the lesser) to tourism businesses located in South Shropshire and Bridgnorth district. In exceptional cases where projects have a particularly high impact, grants of more than £7,500 may be offered.

Capital grants will be available to eligible businesses to provide fixed tangible assets to improve the quality of their facilities and performance of the business.

Can I apply?

Applicants and projects must be small or medium sized businesses located within the eligible area and tourism must be the primary activity. The applicant must be the person who runs the business, owner, director or partner.

You will need to demonstrate sound business planning to create a profitable and sustainable business. The application process includes a free of charge review of your business by the Tourism Business Advisor for Shropshire from the Regional Centre for Tourism Business Support. The review will include a discussion of your development plans or activities for which you hope to apply for grant.

Which businesses are eligible?

Existing Businesses trading over one year in the following areas: -

• Accommodation businesses including pubs
• Visitor attractions
• Conference and meetings businesses that attract visitors to stay.
• Tourism activity providers (e.g. cycle hire, equestrian, walking)
• Food and drink producers - where grant is to increase tourism potential
• Craft/artisan businesses - where grant is to increase tourism potential

Note - New/start-up businesses will only be considered if they will fill gaps in the range of visitor facilities available in the area.

Which businesses are NOT eligible?

• Businesses based on farms are only eligible if they are completely separate from the farm business.
• Restaurant and retail businesses are not eligible.

Please contact us if you need further guidance on eligibility.

What works are eligible?

Grant aided projects must provide tangible new or improved fixed assets that will improve the quality of facilities.

Examples of eligible projects

• Disabled access and facilities for visitors with special needs (non-statutory improvements)
• En-suite facilities for serviced accommodation
• Laundry facilities/drying rooms for self-catering properties
• Wet weather and catering facilities and interpretive displays for visitor attractions
• Building work on new buildings, or conversion of existing buildings
• Upgrading accommodation to achieve a higher rating
• Catering facility improvements (linking local produce and visitors)
• Caravan/campsite upgrades
• Equine tourism facilities
• Conference and meeting venues

Examples of non-eligible projects

• Purchase of land/buildings
• General Repairs
• On-going maintenance
• Purchase of basic equipment such as furniture, replacement of fittings etc
• Purchase of vehicles

How much grant can I apply for?

The maximum grant per project is £7,500, or 15% of eligible project costs whichever is the lesser. The amount of grant awarded (if any) is discretionary. In exceptional circumstances the amount of grant could be higher. Please discuss with us any larger project ideas you may have.

Please note that no payment of grant will be made until all evidence of expenditure is provided (which includes bank statements showing payments made). This could mean that you will have to cover the costs of your project for up to six months until your grant is paid.

What do I do next?

Contact Tim King at South Shropshire DC (if you are located in South Shropshire) or Gina Barker at Bridgnorth DC (if you are located in Bridgnorth DC) to discuss your proposals. If your project is eligible we will arrange for someone from the Regional Centre for Tourism Business Support to contact you to arrange a review. You will then need to submit: -

• An application form
• A cash flow forecast form with two year's previous certified accounts (where these are not available you should contact us immediately for advice), the cash flow for the current and next year
• Estimates for the works to be undertaken - projects with a total cost of more than £5,000 must provide three written quotes, projects with an estimated cost of more than £35,000 must be competitively tendered i.e. you should prepare a written specification for contractors to quote against. Guidance notes on tendering are available from Tim King - see contact details below
• An equal opportunities policy (model policy available)
• Copies of any necessary planning or other consents

Your application will then be considered by a team of appraisers who will make a recommendation to the scheme's Project Management Group for a decision. You will receive written notice of that decision. This grant scheme is discretionary, the decision is final, and there is no appeals process although applicants may resubmit an application.

Your application for grant must be approved prior to starting work. No grant money will be available for works carried out prior to written approval being issued.

All approved work must be completed and evidence of payment by the applicant submitted before the grant can be claimed. Interim payments may be available if requested.

Conditions

If a grant is offered it will normally be made subject to the following standard conditions:

• That work is not started on the project until a formal offer for grant assistance has been made.
• That you are able to demonstrate the viability of the project, the need for grant assistance and the ability to be self-sustaining. This will be outlined in the Business Planning section of the application form.
• That you will sign up to a quality assurance ratings scheme and/or accredited customer care training (if relevant and not already obtained), e.g. Welcome Host, AA or Tourist Board/VAQAS accreditation.
• That any outstanding permissions, consents and approvals are obtained. Proof will be required.
• That any other major sources of funding, essential to the project proceeding, are secured. Proof will be required.
• That the project proceeds as set out in the application or in a revised form, which is submitted in writing and agreed, prior to changes taking place.
• Building refurbishment or new developments should incorporate environmental sustainability measures e.g. storage of water, water efficiency, energy efficiency, (low energy/natural lighting, insulation, efficient heating, re-use of existing assets, waste minimisation etc.
• All items/buildings on which grant is paid must remain in use for the purpose for which the grant was approved for 20 years from the date of final payment of grant. (Or their useful life if this is less than 20 years assuming correct maintenance has been carried out). South Shropshire District Council must be notified if it is proposed to change the use of or sell any building or equipment which was acquired, reclaimed or refurbished using this grant. If the new use does not continue to reflect the objectives of the grant scheme South Shropshire District Council may recover from you funds up to the total amount of grant paid in respect of that project for a period of up to 20 years from final payment of the grant.
• Any grant offered must be claimed within six months of the date of the offer letter. (Extensions may be granted in exceptional circumstances).
• Monitoring requirements - you will be required to provide monitoring information to South Shropshire District Council at least until all outputs have been achieved. All relevant documentation (e.g. invoices) must be retained by you for a period of 6 years from the date of final grant payment and should be available for inspection by Auditors of the funding bodies if required.
• This grant scheme is assisted by the European Union through the European Regional Development Fund, Objective 2 programme. It is subject to rules governing the amount of state aid that can be granted to any one business in any three-year period. In making your application to this grant scheme you are required to specify all other financial assistance received from public bodies and organisations. Any business that will receive more than 100,000 Euros (circa £66,000) in any three-year period, inclusive of this grant (if approved) will not be eligible to apply for assistance. Failure to disclose funding assistance resulting in a breach of this rule may lead to a recovery action being taken by South Shropshire District Council or the Government Office for the West Midlands.
• Publicity: Successful applicants should ensure that the receipt of European grant is publicly acknowledged e.g. by installing a plaque at the actual project which has been grant-aided. The European logo (as below - an electronic version will be provided upon request) must be included in any leaflets and publicity material and on your website. Failure to do so will result in the grant being withheld. These conditions are laid down by the European Commission and are a condition of any offer of grant funding.

Contacts for further information

Tim King, Tourism Development Officer, South Shropshire District Council,
Stone House, Corve Street, Ludlow SY8 1DG Tel: 01584 813210
Email: tim.king@southshropshire.gov.uk

Gina Barker, Project Officer, Severn Valley Package, Bridgnorth DC,
Westgate, Bridgnorth WV16 5AA Tel: 01746 713249
Email: gbarker@bridgnorth-dc.gov.uk

Application Form

Download an application form