By now you might be having a very clear idea about the devastating impact of COVID 19 Pandemic on the people’s life and global economy. The Recent crisis has forced Small and medium-sized enterprises (SME’s) to stop their functioning. With the increase in the positive cases, many small businesses have become clueless about their future which may affect their revenue.
For the latest report, the US has asked places like restaurants, theaters, events, entertainment venues and more to close their doors until further notice. Because of that small businesses have started to feel the financial crunch due to the coronavirus pandemic.
From the latest survey by Bloomberg. Many small businesses are finding it difficult to survive for more than 1or 2 months due to payments like rent, loan payment, employee paycheck and more. More than 30% percent of the business may run out of cash and fail to operate after one or two months. Only 9 percent of small and medium-sized enterprises think they can survive for 6 or more months during the outbreak.
Due to COVID19 impact retailers have already started to face problems like supply chain issues (due to China), fewer customers, a decrease in sales and many more. Affecting hourly workers shift, job, paycheck and more.
According to a report by an analyst, due to the COVID19 outbreak, more than 15000 retail stores and small businesses may permanently stop their functioning. In a recent blog post, the economic policy institute said the COVID19 pandemic can affect more than 3 million jobs by this summer.
To avoid this you can take some measures to save yourself, your employee and your business. In this article, we have discussed how COVID19 is affecting small and medium-sized enterprises? And what precautions they are taking to save their business during the crisis?
Take care of yourself and people around
Before moving ahead we would like to tell you that not only your but every human on this planet is distressed about something. Some people are worried about their lives, some are worried about their business, job, family and many more. In a situation like this where COVID19 is growing rapidly thinking about the job & business future may amplify your stress level.
That’s why before making any decision about your business or job sit back and try to alleviate the stress and anxiety. Remember Until and unless COVID19 minimizes we have to protect ourselves from the unwanted pandemic.
It will affect human life, economy, revenue, and more but life is all about fighting. Once the effectiveness of COVID 19 reduces then every human on this plant will fight back to bring things on track. But for now, it’s important to secure yourself from the deadly and highly contagious disease “Coronavirus”.
Impact of COVID19 on small and medium-sized enterprises (SME’s)
With the increase in the number of coronavirus positive cases, small and medium-sized enterprises have already started to feel the impact on their business. Many are concerned about how they will pay the rent of the store? And provide the paycheck to their employees.
A recent survey found that 76% of the small businesses with employees between 0 – 200 have been hit by the COVID19 pandemic. Most of the retail stores and small companies have stopped their functioning. Because of that their cash flow has been abrupted badly. If you look at the stats, many small businesses working in the tech market have been hit badly in the month of March due to the rise in the COVID19 cases.
Due to the COVID19 pandemic, many companies are facing problems in paying the rent and other due amounts. Even if the landowner allows to defer the rent for two or three months, businesses may face difficulties in paying the due amount. These types of difficulties are forcing small businesses to permanently close their business. Until now no one knows how long this disease and its impact are going to last. Read more on
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