Supportsneeded forsmallfirms to‘reboot’– SFA
THE Small Firms Association (SFA) is calling for greater supports to help small firms in Wicklow to ‘reboot’ after Covid-19.
It has launched a new policy paper entitled ‘Moving the economy forward after Covid-19’
According to the SFA, the paper highlights the ‘growing concern’ amongst small businesses that ‘more needs to be done by Government’ to support them at this time and that planning needs to begin now to ensure that the reboot is experienced across the country and throughout the economy.
Graham Byrne, chair of the SFA National Council, said that while ‘unprecedented’ steps have been taken in recent weeks to shield small businesses from the impacts of Covid-19, until circumstances return to normal it is ‘vital that additional cashflow and liquidity measures are introduced that will allow small firms to survive and bounce back’.
‘For small businesses to recover, they need a cash grant to enable them to meet current outgoings, 100% relief on business rates for the remainder of 2020 and VAT deferral for the next two quarters,’ he said.
‘ To further meet the liquidity crisis, €2 billion should be made available through the Strategic Banking Corporation of Ireland for low interest rate investment and working capital loans to impacted businesses.’
Mr Byrne said that small businesses – including those that were forced to close as well as those who are remaining open but suffering a significant loss of income – should be able to access Covid-19 cashflow and liquidity measures as ‘quickly and efficiently as possible’.
‘ To alleviate uncertainty and maintain competitiveness, as we move the economy forward after Covid-19, the next Government must provide certainty to the small business community by introducing debt forgiveness and tax changes to support investment, consumer spending and job creation,’ he said.
The SFA is calling for the next Government to: introduce a wide-ranging debt forgiveness programme; set up a SME Reboot Taskforce; decrease the cost of employment; decrease VAT to 21% and reintroduce the 9% VAT rate for the hospitality and related sectors; support small business in public procurement contracts; review and reform insolvency and restructuring laws; and invest in broadband and other infrastructure projects.
‘ These are just a few of the areas that small businesses want the next Government to take heed of for the reboot of the economy,’ said Mr Byrne.
In relation to the SFA’s call for the creation of an ‘SME Reboot Taskforce’, he said this should be made up of ‘ key’ stakeholders to consider areas of action that would help ‘reboot’ the small business community across the country.
‘Open and inclusive engagement between different Government departments, agencies, academia, business representatives and the small business sector in Ireland will be most important in contributing to our reboot and growth going forward,’ Mr Byrne said.