I keep hearing about 3m unsupported businesses in the current Covid crisis but where do these numbers come from.
As I understand it there is 5m businesses in the UK, of which I undertand there is maybe 1m Ltd Co.
As the economy dropped 25% I am assuming that 75% of companies were working as normal or doing some sort of activity all be it at reduced levels
With 9m staff on furlough, grants to people with premises, CBILS, BBL etc how can 3m businesses have fallen through the cracks.
I accept some staff who moved jobs in Feb/March may have missed furlough dates and some newly self employed may have missed out on the SEISS but cannot get anywhere near the 3m constantly passed around. There is only small company directors who have maybe been missed out. So if there 1m Ltd Co say 750k are owner managed. But surely a good part of them must have been able to do some trade throughout, so maybe a few hundred thousand directors have had to live on their wits personally but there business has been supported if they have staff.
There is 300k names signed the forgotten Ltd campiagn which would seem to me to more realistic as to the number that have slipped through the gap and the 3m has no foundation at all.
When I explained to my clients there was limited support for directors they just got on with it and then went about changing the business to earn some money or plan for relaunch.
So is the 3m forgotten business just FOMO in that they wish they got the free money sole traders got or is there anything in it as I just don't see it. (yet)