This is the third in a series of surveys Galway Chamber, coordinating with Chambers Ireland, has conducted to analyse the effects of business restrictions and reduced demand on the Irish Economy. The results of these surveys will be used to gauge the requirements of the business community and formulate the policies on which the Chamber’s network lobbies Government intervention.
The headline results are:
55% of business have laid off staff.
85% of businesses have closed to some degree.
43% have temporarily closed their business completely.
17% have scaled back activity
26% have front of house closed with staff working from home
Just 14% have remained open.
Timeline to reopening
43% of businesses claim it would take more than 4 weeks for their business to reopen.
64% of businesses claim it would take more than 2 weeks for their business to reopen.
Reopening prospects are bleakest for those involved in the tourism/hospitality sector.
For those businesses that are closed, typical weekly overheads are in excess of €2,000.
Cost of Reopening
Of those that need to restock upon reopening, the typical restocking amount required is €3,000.
Decline in Revenue
77% expect revenue to decline by more than 50% in the next 3 months.
62.5% expect revenue to decline by more than 50% in the next year.
55% of businesses are waiting for outstanding invoices to be paid.
When asked to rank a series of governmental policies to support businesses,
35% placed Grants for restarting businesses #1.
32% placed a reduction in tourism/hospitality VAT #1
22.5% placed Staff wage supports first.
Government loans for restarting your business was not placed first by anyone.
58% of businesses are participating in the Temporary Wage Support Scheme.
44% of Part time employees prefer being on the Covid 19 pandemic social welfare payment.
80% of businesses believe it will be necessary for the government to maintain the Temporary Wage Support Scheme for more than 10 weeks.
63% of businesses have sought to defer payments.
28% of businesses have successfully deferred loan payments. A further 14% are awaiting response from their respective lenders regarding deferral.
17% of respondents have successfully deferred payments of their commercial rates. A further 29% are waiting for a response from their local authority.