A third of SMEs only have enough cashflow for March expenses
Summary response from 15,627 SMEs in less than 18 hours results:-
(a) Respondance: 59.2% small SMEs. 22.3% micro and 18.5% medium SMEs. 53.3% SMEs <75 employees.
(b) 51.2% SMEs project >RM500,000 losses within 6 months (March – September 2020)
(c) 33.3% can sustain up to March 2020 and 37.7% can sustain up to April 2020
(d) ONLY 26.3% found the government stimulus plan will help
(e) 77.6% yet to apply relief fund as many have existing loan and economic uncertainty will be a doubt on repayment capability and risk of bankruptcy
(f) 4% out of 22.5% whom applied loan rejected by banks
(g) Possible action by SMEs if no strong stimulus package from government:
43.8% persuade employees to utilise annual leaves on voluntary basis,
25.6% will initiate retrenchment
The BIGGEST CHALLENGE of SMEs are expected there is no cash inflow for at least 3 months, yet still need to pay full salary, rental and some statutory payments.
Predict 2.56 mil PEOPLE OUT OF JOB (70% of countries 10 mil employment are by SMEs).
82% predict losses for financial year 2020.