You are here: Covid-19 Only 6% of small businesses get relief funding
Findings extracted from the COVID-19 National Small Business Survey (Post Level-5 lockdown) released by the National Small Business Chamber (NSBC), highlights the continued pain experienced by small businesses coming out of level-5 of the lockdown.
The survey canvassed thousands of small businesses throughout the country, providing invaluable insights into the catastrophic effects of the level-5 lockdown period as a result of the COVID-19 pandemic. The deep challenges are expected to worsen until lockdown reaches level-2 and level-1, when most small businesses will get back to some form of normality.
“One of the disturbing challenges facing small businesses is the inability for small businesses to access relief-funding. The survey revealed that of the 53% of small businesses that applied for relief-funding, only 6% of the applicants received funding. Reasons cited for this range from poor or no-response, unnecessary qualifying criteria and lengthy tedious processes” says Mike Anderson: National Small Business Chamber (NSBC): Founder & CEO
Anderson continues, “94% of small businesses stated that they are either now in a cash- flow crisis or will be within the next 30 days. Government urgently needs to remove all the red-tape and speed up the relief-funding processes and make this funding available to all small businesses through the nation.
“Further disturbing insights into the survey reveals that 63% of small businesses have already and expect to lay-off workers within the next 30 days. Only 8,5% of small businesses are back to normal at Level-4 and more than 75% will only be back to normal at Level-2 and Level-1, the most being at Level-1”, notes Anderson.
A summary of the COVID-19 National Small Business Survey (Post Level-5 lockdown):
The COVID-19 Small Business Relief Centre was recently launched by the National Small Business Chamber (NSBC) to assist small businesses during this crisis. With the collaboration of experts in various business fields, this centre hopes to help small businesses weather the current coronavirus storm successfully.
“Our plea to Government is to communicate more effectively, eliminate all confusion and bring detailed clarity of how and when small businesses can get back to business. Importantly, fine-tune and speed up the relief funding processes and make this funding available to all small businesses through the nation” concludes Anderson.