MONTREAL, March 19, 2020 /CNW Telbec/ - As Canada's small businesses are increasingly concerned about the effect of the spreading COVID-19 virus, EO Canada surveyed its members to assess the impact on Canadian businesses and urges the government to assist small businesses that are experiencing economic fallout.
While this outbreak is affecting people around the world, it is also having a growing impact on the global economy. EO wishes to provide government leaders with an informed insight on the rapidly evolving impacts on Canadian businesses. With the current situation changing quickly, it is important to note that this reflects EO's perspective on the situation as of March 17.
With large-scale quarantines, travel restrictions, and social-distancing measures driving a sharp fall in consumer and business spending all over Canada, businesses lost revenue, laid off employees, and some smaller companies even had to shut down completely.
Businesses tied to commodities, tourism and events are particularly vulnerable and experience greater difficulty surviving disruption. EO's observation is that SMBs face cash flow challenges, volume drops, and growing concern amongst employees. The vast majority of small businesses that took part to EO's survey had no continuity plan to help minimize the impact on the business itself and facilitate a quick resumption of activities.
Survey results show that SMBs are looking for quick solutions during this transition period such as flexible tax policy options (this may include deferring tax payments), low-cost loans, financial grants, and immediate access to emergency funding. It is therefore vital for the government to react promptly and propose fiscal responses that will prove sufficient to overcome economic damage in Q2 and Q3, and also on the longer term to avoid a downward spiral.
About EO CANADA
The Entrepreneurs' Organisation (EO) is a global peer-to-peer network of more than 14, 000 + influential business owners with 196 chapters in 62 countries.
Founded in 1987, by entrepreneurs, for entrepreneurs, EO helps leading entrepreneurs grow through peer-to-peer learning, once-in-a-lifetime experiences, and connections to experts. EO is the catalyst that enables leading entrepreneurs to lead to greater success in business and beyond.
SOURCE Entrepreneurs' Organization Canada
Dominique Laverdure, 514-378-8684, [email protected]
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