Small businesses encouraged to seek support with managing cashflow

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With the ongoing impact of the coronavirus pandemic putting financial pressure on many organisations, businesses in Stockport, particularly smaller companies, are being encouraged to seek out further support if they are struggling with cashflow.

A recent report from the government’s Department of Business, Energy and Industrial Strategy (BEIS), identified cashflow as one of the key challenges affecting businesses in Greater Manchester, particularly small and microbusinesses.

Businesses have been put under particular pressure in recent weeks following the end of furlough and the commitment and requirement to repay the BBL and CBILs on a monthly basis. Many businesses, especially smaller businesses, are finding managing cash flow a challenge, as is prioritising payments to safeguard future viability.

Organisations in Stockport are being reminded that if they, or businesses they know are suffering from financial stress, there is help available.

In the first instance, please contact your bank; they may be able to assist in helping you schedule your debtors, In the event of tax, VAT or National Insurance liabilities, please contact HMRC to discuss your repayment options.

The report also identified the high levels of job vacancies in a number of sectors as a major challenge, adding greater stress to business, particularly in the digital sector, where staff are routinely poached for new opportunities with higher pay and home working. In the construction sector, shortages of raw materials, most notably timber, were also compounding difficulties, while the warehousing and logistics sector in the region was most affected by a shortage of ‘big sheds’ to expand operations.

Image: Courtesy of Creative Comms – Cash Flow by Nick Youngson CC BY-SA 3.0 Alpha Stock Images