Businesses Struggling To Find Momentum
The latest survey of small and medium businesses reveals that business is open but it is tough going to regain momentum after the lockdown – and lock out - and are warning that further layoffs are inevitable, says Auckland Business Chamber CEO, Michael Barnett.
“Business is back but at significantly lesser levels than what we reported in February with just 20 per cent reporting they are back to normal but at least 55 per cent saying they are still only at around 50 – 75 per cent of normal turnover while over 30 per cent of respondents said more redundancies are to come.
“It’s going to be a cold winter as businesses try and build cash flows, stem debt while meeting rent, wages and other costs. Many will use the support government has provided to give them a lifeline to respond to the vagaries of the market and if possible, recover and resize, and if viable rebuild to survive a long period of uncertainty.”