{"id":413399,"date":"2020-07-03T16:30:08","date_gmt":"2020-07-03T14:30:08","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=413399"},"modified":"2020-07-03T15:28:07","modified_gmt":"2020-07-03T13:28:07","slug":"heres-how-many-small-south-african-businesses-say-they-will-close-in-the-next-12-months-survey","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/413399\/heres-how-many-small-south-african-businesses-say-they-will-close-in-the-next-12-months-survey\/","title":{"rendered":"Here’s how many small South African businesses say they will close in the next 12 months: survey"},"content":{"rendered":"

Business organisation Sakeliga has published a new report looking at how South African companies are coping with the coronavirus lockdown.<\/p>\n

423 respondents participated in the survey which took place from 5 – 9 June as the country moved to level 3 of its Covid-19 regulations.<\/p>\n

Businesses with fewer than 50 employees accounted for 96% of respondents, while approximately 75% of the respondents indicated ten or fewer employees in their companies.<\/p>\n

The data shows that in June nearly eight in ten (77%) of respondents indicated that their company was allowed to trade. By comparison only five in ten of respondents said that they could trade in May\u2019s survey.<\/p>\n

However, nearly 17% of respondents still indicated that their company was not allowed to trade in June, while 6.4% of respondents said they were unsure.<\/p>\n

Slightly more than two out of every ten participants indicated that their company was operating at full capacity at the beginning of June.<\/p>\n

About five out of ten indicated that their businesses were trading with limited operations, while about 16% of respondents indicated that their company wasn\u2019t operating because it didn\u2019t make financial sense to open.<\/p>\n

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Closures<\/strong><\/p>\n

Nearly 5% of the respondents (about 19 out of 423 respondents) indicated that their businesses would be closing down in the next 12 months.<\/p>\n

44% of respondents said they were unsure about closures in the next 12 months, while 52% said their company would remain in business.<\/p>\n

Of the 19 respondents who indicated a closure in the next twelve months, 15 (in total) stated the regulatory response to Covid-19 as a reason for the upcoming closure.<\/p>\n

Only two gave the medical impact of Covid-19 as a reason. A further two of those 19 respondents indicated other factors not related to Covid-19 as the reason for the closure.<\/p>\n

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In June, 14,2% of respondents believed that the damage due to Covid-19 would eventually be offset (a slight proportionate improvement from the 10.3% of respondents in May).<\/p>\n

Almost 40% of respondents in June indicated that little could be done to limit the damage (improved from 47.6% in May), while 33% indicated the damage would be offset to a limited extent (an increase from 25.5% in May).<\/p>\n

“Although a large majority of respondents accordingly still expect lasting damage to businesses, on the face of it we are once again seeing a possible slightly better picture in June compared to the picture in May and April,” Sakeliga said.<\/p>\n

“Yet the feedback still paints a bleak picture that considerable damage has been done and will have to be dealt with by the relevant businesses.”<\/p>\n

\n

Read: South African startups share their lockdown experiences: some are winning \u2013 for others, it\u2019s a struggle<\/a><\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

Business organisation Sakeliga has published a new report looking at how South African companies are coping with the coronavirus lockdown.<\/p>\n","protected":false},"author":10,"featured_media":390203,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[26,14851],"class_list":["post-413399","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-headline","tag-sakeliga"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/413399","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=413399"}],"version-history":[{"count":2,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/413399\/revisions"}],"predecessor-version":[{"id":413413,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/413399\/revisions\/413413"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/390203"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=413399"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=413399"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=413399"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}