COVID-19 is having a serious impact on all businesses in Ireland but particularly so for the SME sector.
The difficult decisions the government have had to make over the last week will have a significant impact on trading for all businesses, which in turn is impacting cash flow and liquidity. Businesses will also have to make difficult decisions over the coming days and weeks.
There are steps that can be taken to address the impact of CoVID-19 and the government has recognized the need to provide support NOW.
Immediate actions that can address trading shocks and cash flow impact:
- Revenue Payments: Revenue have published guidance that they will not charge interest on late payments or take any enforcement action for the non-payment of taxes. You should continue to make tax returns on time. Click here for further details.
- HR Support & Advices: Click here for further details.
- Government Agency Support: Click here for further details.
- Support from Pillar Banks: The main banks are advising that if you need to defer repayments they will assist businesses but you must contact your bank immediately. Click here for further details.
- CAPEX: Consider suspending immediately All CAPEX and other discretionary projects.
- Insurance: Review your insurance policies to identify any provision for making claim for losses arising from Business Interruption
- Property Rent: Review the terms of each lease and begin discussions with property owners to seek a moratorium. There may be a greater negotiation position if your landlord is in a position to seek a moratorium from mortgage repayments.
- Creditors: Engage with your key suppliers now to review existing credit terms and continue regular communication to ensure continuity of supply. Make contingency plans for alternative supply if required.
- Other Key Stakeholders: Communicate regularly with your key investors in order to retain confidence and support.
We have invested in technology and have implemented remote working capabilities across all our teams to allow business continuity.
RBK are here to help. Please reach out to your usual RBK contact if you need assistance on any of the above.
