Many businesses concerned about cashflow

By Jensen, Randy on June 6, 2020.

Lethbridge Herald

The Lethbridge Region Economic Recovery Task Force says many businesses recently allowed to reopen after COVID-19 are still concerned about their cashflow situation and are considering closure after the summer if they are unable to generate enough sales.

According to the survey results released by the Task Force on Thursday, about 38 per cent of businesses will either be unable or are still unsure if they will be able to pay their property taxes by Sept. 30, and 26 per cent of businesses anticipate a cash shortfall of at least $10,000 over the next 30 days.

“As businesses look to reopen and plan for the short- and long-term viability of their operation, surveys like these help the task force and other organizations focus on what needs to be done now and into the foreseeable future,” says Cyndi Vos, executive officer, Lethbridge Chamber of Commerce, and team leader of the Barriers to Business pillar of the Task Force.

“It’s not going to be easy, but if we can work together with government and industry we can try and chart a path to economic recovery for our region.”

The survey also highlights the importance of consumers supporting local businesses.

About 52 per cent of businesses say they need to make at least 76 per cent of their typical sales to make it worthwhile to stay open through the summer.

Financial uncertainty of this type may lead to increased stress for business owners, the Task Force acknowledges. For businesses looking for resources, guidance, business advice and emotional supports though the COVID-19 pandemic, the Lethbridge Region Economic Recovery Task Force home page at http://www.chooselethbridge.ca/recovery provides useful links and tools for those in need.

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