More than Half of Cowichan Businesses Still Earning Less
The second business recovery survey for the Cowichan Valley following the COVID-19 economic shutdown reveals more than half of businesses in the area still face a decline in revenue.
The survey by Economic Development Cowichan found 55 percent of businesses surveyed report a decline in sales.
That figure rises to 58-percent among businesses in the service sector.
Companies that produce goods are currently suffering a 33 percent decrease in sales.
There is some encouraging news as only 11 percent of businesses surveyed now report a revenue decline of 75 percent or higher. The first survey by EDC found that 62 percent had lost three-quarters, or more, of their sales back in May. Forty-one percent of businesses say they are temporarily or indefinitely closed at this time. That number was 59-percent in the first survey
One percent of businesses say they will close permanently, while 10 percent are planning to sell out in the next year, and 19 percent are planning to reduce the size or scope of their business in the next year.
Twelve percent of businesses say they plan to expand in the next year
The information gathered in this series of surveys by Economic Development Cowichan will identify the needs of local business, provide information for regional economic recovery planning, allow the CVRD to work with senior levels of government on behalf of Cowichan businesses, and provide data to support the work of local economic development organizations.