Fewer SMEs fearing collapse due to Covid-19 impact

Numbers fearful of going out of business within a month has halved since September

ISME chief Neil McDonnell said levels of optimism have risen.

The number of small and medium-sized companies fearful of going out of business within a month, due to Covid pressures, has halved since September.

According to an Isme survey, as of the end of November, 2.5% of SMEs were either sure of going out of business or not confident of surviving more than a month.

That figure is down from just under 5% when Isme last surveyed SMEs in September.

The survey also showed that the number of businesses who think they will cease trading, over whatever timeframe, due to Covid-19, has dropped from 5% in April to less than 1% now.

Furthermore, the number of firms who believe they can keep trading for more than nine months has increased from 20% in April to 58% as of the end of last month.

“The proximity of the end of the level 5 lockdown, as well as the increasingly positive news on vaccine approvals, have no doubt raised levels of optimism,” said Isme CEO Neil McDonnell.

The positivity of the Isme survey was backed up by upbeat jobs news. US technology and clinical research company Iqvia — which is involved in support services around Covid-19 vaccine commercialisation — has announced 170 more jobs for its Irish operations.

Also, US doughnut brand Krispy Kreme has signed up as a major tenant of the planned Central Plaza retail and office development due to fill the Central Bank’s old headquarters on Dublin’s Dame St.