A 30% increase in insolvency, near insolvency and requests for debt write-offs among small businesses have been registered in December and January, says a top lawyer in the field.
“Unlike previous coronavirus waves, small businesses are not receiving immediate assistance from the government and do not have the financial oxygen to wait another two months to receive assistance,” said Adv. Oded Hen.
According to market research, the hardest hit small businesses the last two months are cafes, restaurants, buffets, fashion stores, travel agencies, tourism businesses, beauty and cosmetic salons and leisure activity businesses.
Half these endangered businesses have been operating for under three years.