We’ve got a road map out of the Covid-19 crisis but beware giving credit to firms planning to reopen

With Brexit ‘done’ and the Government announcing that they now have a clear roadmap to lead the nation out of the nightmare of Covid-19 we can at least feel industry might heave a sigh of relief.

And the four step roadmap is certainly the most encouraging of those aspects of politics.

Print Week

Writing in the printing industry’s trade publication Print Week Jo Francis (pictured) noted that business owners have broadly welcomed the government’s plans.

She explains: “The key dates for the gradual unlocking are step one: 8 and 29 March; step two: no earlier than 12 April, step three: no earlier than 17 May and step four: no earlier than 21 June, by when the government hopes to be in a position to “remove all legal limits on social contact.”

Jo Francis goes on to quote a number of industry figures on their views on the roadmap. Perhaps the most revealing and also optimistic was from Gareth Roberts, the managing director of Bishops Printers. She quoted him as saying:“The roadmap is really useful because it will turn the glass to half-full. The science and the rollout of the vaccine would make me believe that actually these dates will be reasonably reliable. In terms of planning for recovery, the last thing you want is to regress again.

“Whether it’s theatres or sports… my sense of our customers is they can now start to have reasonable confidence in how they are going to stimulate activity. Football clubs can definitely start season ticket renewal campaigns and marketing activity for the new season with confidence that fans will be in there. I believe that schools going back is also important, because people working from home will be able to focus on planning the re-emergence of their business and their role within that. Within the next three weeks we’re going to be on a progressive and sustained pathway toward recovery. I’m really excited and really positive.”

Warning over credit

Ian Carrotte of ICSM said Gareth Roberts had made the point about planning very eloquently. He said: “It has been the unending nature of the covid-19 crisis that has so damaged business. With the dates laid out by the Government sports venues, theatres, cinemas, restaurants and pubs can start planning. Getting in stock, recruiting staff and above all putting together a cash flow forecast for the rest of the summer.”

However he predicted that many businesses would not survive that long with many throwing in the towel due to mounting debts.

“Many companies have been ripped off by the banks with high interest rates,” he said, “while repayments for the original loans are now due – but so many firms have had next to no income since last year. So my warning to suppliers is be careful about granting more credit as many companies will go into administration during the spring and summer.”

About ICSM Credit

ICSM Credit has more than four decades of experience as a credit intelligence group whose members gain inside information about firms in trouble allowing them to avoid bad debts and rogue traders. To join costs less than a tank of fuel – while at the moment there’s a special free temporary membership offer during the Covid-19 crisis which gives access to free legal letters. ICSM also has an effective debt collecting service which has a global reach – ask for details from Paul.

For details about ICSM Credit call 0844 854 1850 or visit the website www.icsmcredit.com or email Ian at Ian.carrotte@icsmcredit.com on how to subscribe and to join the UK’s credit intelligence network to avoid bad debts and late payers. Follow ICSM Credit on FaceBook, Twitter and YouTube and Ian Carrotte on LinkedIn.

To keep up to date subscribe to the FREE ICSM Credit Newsletter to hear all the latest insolvency news and to see who has gone out of business click on the orange panel on the top left of the home page of the website www.icsmcredit.com or send an email to Ian.carrotte@icsmcredit.com

For details for the work of the journalist Harry Mottram visit www.harrymottram.co.uk