Australian SMEs - ‘more heavily impacted' by COVID-19 than large businesses

"While the pandemic adversely affected Australia’s businesses in general, companies in the SME sector were more heavily impacted than large businesses as a greater proportion of SMEs were in industries such as the arts, recreation and hospitality which were the hardest hit by the pandemic”, explain Greg Woszczalski, Executive Director of Grow Finance and Dave Smart, Regional Sales Director, HPD Lendscape in the Australian factoring market analysis, included in the actual edition of World Factoring Yearbook.

“With the onset of the global pandemic, the Australian Government acted to support businesses and the consumer and committed to spending nearly AUD 200bn on economic and health measures, most of which went on the economy to support industry and business.

"Banks and the Government have made lending money cheaper and given ‘holidays’ to both businesses and consumers (e.g., rents, leases and tax breaks), which have assisted the economy to recover more quickly than expected.

"The factoring and invoice finance industry has helped businesses through the difficult times, both by offering further products and finance and also by assisting where possible with government-available aid.

"The industry has seen new products arise as the clients’ requirements have changed, and we have seen more products being offered to a client to cover their complete supply chain”.

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