The corona virus crisis is already having an impact on businesses in various ways. While large corporates are following the situation in relatively calm manner and continuing to adjust to the situation, a number of SMEs have already faced an immediate crisis.
”All businesses, whose financial situation the corona virus pandemic has had a significant impact on, should contact their bank as soon as possible. The measures announced by the Finnish Government today are welcome to support Finnish businesses. As the largest financier of businesses in Finland, we have a responsibility to support the financial situation of SMEs and large corporations. We will continue this work to ensure businesses will have access to sufficient funding,” says Katja Keitaanniemi, CEO of OP Corporate Bank plc.
OP offers its SME customers with loan repayment holiday free of charge, and so far the number of applications received runs in a few thousands. For SMEs, this is the easiest short-term solution to ease the situation. The number of applications is expected to increase, should the pandemic last longer or restrictions of movement be added.
Many businesses will face cash flow shortages, when fixed expenses remain at current level, while income will decline. Applications for additional working capital can be submitted online or by contacting the relevant cooperative bank. Prior to getting in touch with the bank, businesses should ensure that their liquidity analysis is up to date, which will make negotiations significantly easier. As part of the negotiation process, the company’s liquidity and cashflow situation will be assessed.
”Our aim is to help businesses to adjust their expenses and operations to the current situation. The mutual goal for everyone is to ensure that viable businesses will get through the crisis. Both Finland and OP strongly support businesses in achieving this,” Keitaanniemi sums up.