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The collateral damage from Cornoavirus on 18:15 - Mar 13 by homer_123
Seen what Germany are doing? Loans available for ALL businesses.
Great, but loans then need to be repaid, in what will rapidly become a recession if this goes on very long. Also, do self-employed sole traders (with bad credit records) count as "businesses"?
The collateral damage from Cornoavirus on 18:21 - Mar 13 by Guthrum
Great, but loans then need to be repaid, in what will rapidly become a recession if this goes on very long. Also, do self-employed sole traders (with bad credit records) count as "businesses"?
Exactly, it will carry a bit of small print.
A fellow captain of industry told me yesterday that BOJO is giving all small businesses a £3k grant. I admit to not looking at the budget at all, is this correct and when do we get our cheque?
“Hello, I'm your MP. Actually I'm not. I'm your candidate. Gosh.”
Boris Johnson canvassing in Henley, 2005.
The collateral damage from Cornoavirus on 17:03 - Mar 13 by Lord_Lucan
Everything you can imagine will be hit and unless a miracle happens many people will go bust. I am very nervous about getting money in now, loss of trade I can handle but bad debts are another thing.
I don't think many people appreciate how much of a domino effect it will be. I was thinking earlier for example about a trade show we exhibited at last month. We have an average size stand, it was 6m x 4m and it cost us about £8k, the exhibition has about 10 halls each as big as a football pitch. Say the exhibition was cancelled, how much will that cost the promoter? What about all the companies relying on the fair? What about the hotels, restaurants, pubs and clubs? This is just one example of one scenario.
What about the big high street boys? Debenhams, Marks and Sparks etc? They cannot pay rent without turnover and they are always a bad season away from going bust. Funnily enough I was talking to a friend at the fair who supplies Debenhams. I mentioned I would be nervous supplying them and asked how much they were owed, he advised that at any one time Debenhams owe them £200k, I asked if he could survive that hit and he immediately replied "No"
[Post edited 13 Mar 2020 17:41]
The consequences are enormous.
Big companies go bust, lay off loads of workers and leave mountains of debt. Smaller companies who supply the bigger companies also fold, laying off a smaller number of staff.
Take for example a major airline going bust. Think about the number of potential job losses outside of the direct employment of that airline - airport staff, security, maintenance, food supplies, delivery drivers, advertising firms.....the list is endless.
The end result is that Joe Bloggs doesn't have any cash to spend on any non essentials and struggles to pay for some or most of the essentials.
If this goes on for 3 months odd as a lot of experts are predicting, that will kill many sole traders and small businesses, plus a number of big firms. Scary times.
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The collateral damage from Cornoavirus on 19:58 - Mar 13 with 1086 views
The collateral damage from Cornoavirus on 18:36 - Mar 13 by Lord_Lucan
Exactly, it will carry a bit of small print.
A fellow captain of industry told me yesterday that BOJO is giving all small businesses a £3k grant. I admit to not looking at the budget at all, is this correct and when do we get our cheque?
The collateral damage from Cornoavirus on 18:36 - Mar 13 by Lord_Lucan
Exactly, it will carry a bit of small print.
A fellow captain of industry told me yesterday that BOJO is giving all small businesses a £3k grant. I admit to not looking at the budget at all, is this correct and when do we get our cheque?
“ The government will provide an additional £2.2 billion funding for local authorities to support small businesses that already pay little or no Business Rates because of Small Business Rate Relief (SBBR). This will provide a one-off grant of £3,000 to around 700,000 business currently eligible for SBRR or Rural Rate Relief, to help meet their ongoing business costs. For a property with a rateable value of £12,000, this is one quarter of their rateable value, or comparable to 3 months of rent.”
The collateral damage from Cornoavirus on 17:03 - Mar 13 by Lord_Lucan
Everything you can imagine will be hit and unless a miracle happens many people will go bust. I am very nervous about getting money in now, loss of trade I can handle but bad debts are another thing.
I don't think many people appreciate how much of a domino effect it will be. I was thinking earlier for example about a trade show we exhibited at last month. We have an average size stand, it was 6m x 4m and it cost us about £8k, the exhibition has about 10 halls each as big as a football pitch. Say the exhibition was cancelled, how much will that cost the promoter? What about all the companies relying on the fair? What about the hotels, restaurants, pubs and clubs? This is just one example of one scenario.
What about the big high street boys? Debenhams, Marks and Sparks etc? They cannot pay rent without turnover and they are always a bad season away from going bust. Funnily enough I was talking to a friend at the fair who supplies Debenhams. I mentioned I would be nervous supplying them and asked how much they were owed, he advised that at any one time Debenhams owe them £200k, I asked if he could survive that hit and he immediately replied "No"
[Post edited 13 Mar 2020 17:41]
I think you have just described an economy held together by string.
"They break our legs and tell us to be grateful when they offer us crutches."
The collateral damage from Cornoavirus on 21:52 - Mar 13 by GlasgowBlue
“ The government will provide an additional £2.2 billion funding for local authorities to support small businesses that already pay little or no Business Rates because of Small Business Rate Relief (SBBR). This will provide a one-off grant of £3,000 to around 700,000 business currently eligible for SBRR or Rural Rate Relief, to help meet their ongoing business costs. For a property with a rateable value of £12,000, this is one quarter of their rateable value, or comparable to 3 months of rent.”
I'm confused now though (easily done) - I thought yesterday it was announced that all businesses with a premises with a rateable value of £51,000 or less wouldn't pay any business rates for 1 year. Did I misread that?
I have spent the day speaking to Oz, Asian, European and North American offices, and key clients from across those territories.
Whilst offices are closing, operational sites from power stations to water treatment works are sealing themselves off and projects, meetings and workshops are being moved to web-cons.
I sensed a real purpose and ingenuity in how people are setting up to keep working and keep business and infrastructure working. Some of the contingency planning discussed around water, telecoms and utility supply are very good.
The outlier is of course the USA, which has so many challenges at the state/federal interface, and in years of low taxation and short termism.
We have to keep the world economy moving, by whatever means.
I have spent the day speaking to Oz, Asian, European and North American offices, and key clients from across those territories.
Whilst offices are closing, operational sites from power stations to water treatment works are sealing themselves off and projects, meetings and workshops are being moved to web-cons.
I sensed a real purpose and ingenuity in how people are setting up to keep working and keep business and infrastructure working. Some of the contingency planning discussed around water, telecoms and utility supply are very good.
The outlier is of course the USA, which has so many challenges at the state/federal interface, and in years of low taxation and short termism.
We have to keep the world economy moving, by whatever means.
[Post edited 13 Mar 2020 23:12]
Don't take it personally...couldn't resist..."I'm the wife of the boss of the company.
[Post edited 13 Mar 2020 23:56]
"They break our legs and tell us to be grateful when they offer us crutches."
The collateral damage from Cornoavirus on 22:05 - Mar 13 by allezlesbleus
Thanks for posting that GB.
I'm confused now though (easily done) - I thought yesterday it was announced that all businesses with a premises with a rateable value of £51,000 or less wouldn't pay any business rates for 1 year. Did I misread that?
That’s correct. Retail premises with a RV of less than £51,000 are already entitled to a discount but that discount is being increased to 100% fir one year.
This has also been extended to the hospitality industry.
Edit. Once again for any small business owners on here this link is very helpful.
The collateral damage from Cornoavirus on 06:43 - Mar 14 by GlasgowBlue
That’s correct. Retail premises with a RV of less than £51,000 are already entitled to a discount but that discount is being increased to 100% fir one year.
This has also been extended to the hospitality industry.
Edit. Once again for any small business owners on here this link is very helpful.
The collateral damage from Cornoavirus on 08:46 - Mar 14 by allezlesbleus
Thanks GB!
That will be some help to retailers, although I can still see many firms going under if things aren't back to normal within 3 months.
I feel very sorry for people who have only recently opened a new npbusiness and have very little in way of capital to fall back in to get through this.
I can survive three months. Maybe a month or two past that. If I can arrange a rent holiday for one quarter as well as using my capital reserves I can probably last six months.
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