With NSW lockdown restrictions lifting in the lead up to Christmas, there are real opportunities for businesses to exploit the euphoric rush of consumers, eager to make up for time spent languishing on the lounge. Coupled with the retail exuberance normally experienced during the festive season, sales are expected to skyrocket. This may well result in businesses needing to re-hire staff and pump up production.

Pair this though, with the announcement that lockdowns in New South Wales and Victoria have weighed heavily on the economy, resulting in an unemployment rate rise to 4.6 percent, up from 4.5 percent. The participation rate has hit a 15-month low, with another 138,000 jobs lost last month, as Australia’s two most populous states struggled through extended lockdowns. Just 64.5 percent of people aged 15 and over are currently working or actively looking for work.

Being unable to keep up with heightened sales can result in long manufacturing times, increasing the chance of not having the resources to fulfill orders. This can really be a hurdle for small businesses with few assets, as they don’t have the funding to bounce back from the loss. In order to meet the demand, supplementary machinery and equipment might be needed. The cost of purchasing added equipment can be expensive, especially with small business owners not having the finances to be able to afford to expand their manufacturing offer.

The consideration of business financing is important for business owners to protect their assets against the chance of a recession or market descent. This can be really beneficial with the uncertainty of COVID-19 still affecting the globe.

When used successfully, the benefits of a loan can significantly magnify your company’s earnings. If you are a small or medium business owner and are looking for assistance in expanding your enterprise to keep up with market demand, a business loan can be a viable option, alleviating some of the pressure and allowing you to concentrate on those opportunities that serve you best.

To find out more about our business or equipment finance services, talk to one of our friendly team today!