The Corona Virus had not spared anyone or any service or business industry in the past 1.5 years. The COVID wave has impacted all our lives and the income sector severely. Small businesses are no exceptions to this. In fact now when the world and the business sector is gaining back the momentum, the small business still remains affected in a very inappropriate way. As per the Australian Bureau of Statistics data from February, it is found that nearly 42% of small businesses have cash that would suffice for a maximum of 3 months while the big businesses of 24% are affected in similar ways.
What Support is Available?
The best part is, although the times have been sour, not everything is lost yet as there are innumerable support measures available that are ready to help the medium level and small level businesses. So if you are looking out for an extra cash flow to keep the further months working process smooth or maybe to expand the business, these support sources will make it happen for you.
In the past year, the Australian Government took an extra step in sanctioning a list of measures of financial needs to make the lives of the small business owners during these tough times of pandemic. A guaranteed scheme of loans in Australia for the Small and Medium Enterprises without the obligation of lending and instead the lenders providing small businesses with small credits was brought into action as a temporary measure.
Although the government took so many measures in raising the SME income, unfortunately, business lending still remains subdued despite providing the lowest interest rates. Then why aren’t these SMEs’ borrowing?
As per the government data, nearly 93% of the working economy has come out of the downfall and is moving ahead positively as jobs people have regained their jobs and work has begun. But unfortunately for small businesses to regain that level is a little difficult as people’s involvement in small business is more and people are still scared to freely move around. For this to change, the vaccination rate must be raised.
How The Government Stimulus Reduced The Need For New Loan?
The Reserve Bank of Australia has passed a statement saying the need for new loans is reduced as the business has built up liquidity buffers with government stimulus and temporary loan deferrals. Yet in another statistics out by the Australian Banking Association, it is seen that more than 200,000. And SMEs during the pandemic times have put their business loans on hold at the peak of the pandemic.
Particular Sectors Still Face Challenges Getting Access To Finance
The most affected sectors like tourism, hotel, food, etc are still facing the challenge of getting finance as they are the hardest hit. Many banks are still not providing loans or are being extremely cautious for business sectors like commercial or retail property, tourism and food industries as they check with the business loan repayment calculator. The irony is, there are no new banks for these businesses.
How APW Finance Can Help Small Businesses?
Small businesses or rather the SME have always faced a little problem in getting loans due to their diverse and unique finance requirements. But it is in these times when APW Finance has stood by them as a solace. They take the extra mile in helping small business owners and make their loan happen. Australia’s highest commercial lenders finance options are compared by the APW Finance along with the non-banking lenders, or smaller banks using the business loan calculator. And then find the best suite for the business owners.
Many small banks and small scale money lenders sanction loans to business owners with minimum documents, unlike the big banks where the documentation process is very tedious. The APW Finance will connect you to them as per your requirement and get your loan approved.