The “optimistic” scenario outlined by the ESRI showed that even with the TWSS/EWSS wage supports that have been put in place, 39% of Microenterprises (businesses with fewer than 10 employees) are likely to have exhausted their cash reserves entirely by years end, with more than half of these businesses needing in excess of €21,000 to stay liquid. In the more “pessimistic” outcome 42% of these firms are likely to see their resources exhausted by December, with more than half of Microenterprises suffering a 2020 shortfall which will be in excess of €55,000.
For Small to Medium enterprises matters look worse. Under the “optimistic” scenario, 46% of them are likely to have outgoings which exceed both revenue and their cash reserves by the end of the year. Should our circumstances prove to be closer to the “pessimistic” scenario, then 54% of Small to Medium Enterprises will see themselves run out of reserves by the end of the year, and most of them will see their shortfall exceed €300,000.