Cash flow and debt is worrying directors

CASH-FLOW issues, incurring debt, and the impact of COVID-19 on their organisations’ ‘bottom line’ for 2020 are among the chief concerns of business leaders according to a new survey to by the Institute of Directors (IoD) in Ireland.

The IoD survey has found that 38 per cent of business leaders foresee their primary organisation as having cash flow issues for the rest of 2020.

Meanwhile 36 per cent of business leaders say their primary organisation has already experienced cash-flow issues in the second quarter of 2020. Twenty-six per cent of the business leaders surveyed said their organisations’ debt has increased as a result of COVID-19.

“The impact of COVID-19 on Irish business and society has been sudden, significant and, indeed, transformative in many ways,” said IoD Ireland Chief Executive Maura Quinn.

“Many business leaders are battling to ‘keep the show on the road’ and are experiencing cashflow issues and taking on more debt. The new Government’s imminent stimulus package must encompass further measures to help businesses survive in the short term and recover as best they can,” Ms Quinn said.

IoD Cheif Executive Maura Quinn