How the Coronavirus Is Affecting Small Businesses

If you are reading this, we assume that you are already aware of the coronavirus and how it has impacted literally every country around the globe. Hundreds of people are dying daily due to coronavirus, and with the never-ending widespread of the virus, many countries have already gone into lockdown.

With the imposition of a lockdown, people will not be allowed to leave their homes, and the businesses will remain shut. In this scenario, the huge-scaled businesses might have the savings to support themselves, but small businesses run with almost minimum to zero savings. Putting it in a nutshell, this pandemic has negatively impacted small businesses.

According to the report, more than 50% of the small businesses have responded that they won’t be able to continue their work operations for more than three months. This survey was conducted among 1,500 small businesses. This information is essential because the economy has been disrupted with a drastic hit. The stock markets are going down while the main streets remain the most impacted entity.

The Statistics

This section has the numbers related to small businesses and how they are being impacted by the coronavirus. So, have a look!

  • 51% of the businesses will not be able to operate for more than three months
  • 96% of them are already under negative impacts
  • 75% of businesses are experiencing lesser sales
  • 53% of businesses are saying that their employees aren’t able to reach to work
  • 13% of them are confident that backup plans will help them in this exhausting situation
  • 74% of them aren’t yet impacted
  • 3% of small businesses have been positively impacted
  • 39% of them are experiencing issues in supply chain
  • 4% of small businesses have sick employees (flu), but they aren’t yet positively tested

It’s easy to say that small businesses with supply chain issues and fewer sales don’t have such intense impact irrespective of the business niche. However, the owners of these businesses are actively working on raising awareness about the virus. In addition, they are aware of the disruptions that can be imposed on their business if coronavirus impregnates their region.

The events and exhibition shows have been cancelled for an indefinite time, and the delays in shipment of parcels have been seen. In addition, with the cancellation of shows, the businesses are paying money from their own pocket because the show didn’t happen and didn’t earn any money, but the cancellation fee remains constant.

Many small businesses have their manufacturing units in the United States, and with the increasing cases and potential chances of lockdown have impacted the supply chain. No matter if you had imported, and exports relationship with the US, China, or Italy, every business’s supply chain has been disrupted. On the other hand, the shipment companies are struggling with delays and have been proactive.

Their proactive approach has asked them to share delays with the customers. On a positive side, the customers have been understanding and considerate about the delays because they understand the severity of this pandemic.

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