Over two-thirds of small businesses still availing of wage subsidy scheme
Almost 70 percent of businesses are still availing of the TWSS or EWSS wage subsidy scheme to pay their employees, according to a survey by the ISME. The results of their fourth flash survey on Covid-19 has also shown that just four percent of respondents have availed of the Government’s Restart Grant scheme which are worth up to €25,000.
The survey found that 68 percent of respondents are availing of the TWSS or EWSS, making wage supports by far the largest liquidity solution availed of by business. Some 21 percent of respondents were availing of the pandemic unemployment payment (PUP) as a self-employed person.
Almost 70 percent of SMEs have yet to seek assistance from their banks, while 19 percent of businesses are owed money by the State. Of those, 38 percent are owed less than €10,000, and 50 percent are owed between €10,000 and €250,000.
“It is notable that after rising levels of optimism (regarding the chance of survival) among small business owners in our May and July surveys, this has reversed in the September survey,” commented ISME CEO, Neil Mc Donnell, on the results.
“In the earlier survey, 3% of SMEs foresaw their business closing within one month. This has now risen to 5% in September.”
Four percent of businesses have availed of the SBCI working capital scheme, only two percent have availed of a MicroFinance Ireland loan, and 0.4 percent have availed of the Credit Guarantee Scheme.