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?