Home Business 58.6% of small business owners in the metropolitan area “concerning about closing or closing business during the holiday season”

58.6% of small business owners in the metropolitan area “concerning about closing or closing business during the holiday season”

by news dir

The rodeo street at Suwon Station is showing a quiet appearance. 2020.12.8 /Kim Do Woo-jae [email protected]

Weekday and weekend business resumption and suspension repeat… Can’t stand the landlord’s request for a rent increase

Last year’s sales were halved before the Corona crisis… 67.3% “July-August will decrease by more than 40%”

Office worker A (34), who visited a buffet restaurant in Gwanggyo, Yeongtong-gu, Suwon-si, using the evening time on a weekday last week, saw the door closed without notice and turned away. As social distancing has been strengthened due to COVID-19, the business has been suspended on weekdays except for weekends with a lot of visitors.

The restaurant, which operates as a franchise in the metropolitan area, has repeatedly resumed and suspended operations on weekdays since last year.

An official from a nearby restaurant said, “When social distancing is raised, let alone buffets, our restaurant will not even open on Saturdays.”

B (62), who runs a meat restaurant in Ingye-dong, Suwon-si, had to close the business after receiving a unilateral notice from the building owner to raise the rent a while ago. Due to the corona virus, the business has already stopped, because it was difficult to withstand the demand to nearly double the rent.

As such, 6 out of 10 food and small businesses in the metropolitan area, including Gyeonggi-do, are considering closures or closures during the summer vacation this year as the social distancing level has been raised.

According to the Korea Federation of Small and Medium Enterprises on the 18th, through a fact-finding survey from the 12th to the 15th, 162 small business owners in the food and lodging businesses in the metropolitan area were asked ‘the extent to which the raising of social distance affects their concerns about closures and closures’. I am doing it,” and 27.1% answered that they were “seriously thinking”.

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58.6% of the respondents said that due to social distancing, restaurants or lodging establishments currently in operation could be closed or closed. This is due to the continued decline in sales due to the aftermath of COVID-19 and business restrictions due to social distancing from the beginning of last year to the present.

As a result of the fact-finding survey, the average sales of 162 small business owners in July and August 2020 was 39.48 million won, which was 52% of the 72.58 million won in the same period in 2019, before the Corona 19 crisis.

The outlook for this year is even more serious. In particular, 67.3% of respondents said that in addition to this, sales in July and August of this year will decrease by ‘40% or more’ more than expected (33.3% decrease in ‘40% or more but less than 60%, 34% decrease in ‘60% or more’) expected

/ Reporters Shin Ji-young and Kim Jun-seok [email protected]

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