Dear Friend and Business Colleague,
The year 2020 is fast running to and end with most of us overly excited at the prospect to greet this tumultuous year goodbye. We survived a year filled with more uncertainty, anxiety, and disbeliefs than most of us have experienced in an entire lifetime. As we all start the process of bidding 2020 goodbye an alleged second wave and the knowledge that the economic fight is not over hampers our celebration and brings back the reality that 2021 is likely going to be one of the toughest economic years faced by our young economy.
Most economist will tell you that our economy is in depression, with many saying it is actually a deep depression. With opinions ranging from 2,000,000 to 3,000,000 jobs lost in an already battered economy. We are also being warned that business liquidation application is poised to rise towards the latter part of the first quarter and into the second quarter of 2021. This rise is expected by some to be estimated 180,000 entities it is not unfathomable that another 1,000,000 jobs may be lost in the first half of 2021. A dire situation for an economy that needs to create jobs at an incredible pace, not loose job opportunities like leaves on an autumn tree.
A specific point that shows the terrifying impact of this disease is that more than 250,000 domestic workers have lost their jobs. As this is a sector predominantly employs woman, mothers, and is a steppingstone out of total poverty for many, I am deeply saddened by the impact on these important breadwinners and as such having on our poorest component of our nation.
That said, allow me to provide a different perspective. This is the time for us as small business owners and entrepreneurs to stand up. It is time for us to leverage our opportunities and aggressively focus on the health and wellbeing of our businesses. Responsible capitalism must now hear the call and approach their business with doubtless vigour, passion, and innovation. It is most likely the first time in the modern economy that smaller businesses have an advantage against its larger competitors.
Our ability to adapt, innovate and grab opportunities is providing us with an ability to outperform our larger cousins. Our lower cost base and the rapid increase in technological advancement has closed the gap between what the big boys can do, and we can do. The playing field is fast becoming flatter. With technology like Teams and Zoom, we can also attack markets in what once was far flung lands, with marketing tools like Google, Facebook, and LinkedIn we can market our products and services as far and wide, or as targeted as we want. With the fast fall in the cost of innovation we can see smaller companies making larger impacts more quickly.
Yes, 2021 will not be all sunshine and rainbows, but for the adaptable this new environment is poised to provide new opportunities for business growth. Let your creative juices flow, adapt your business offering around your clients needs, not yours, and you will most likely be fantastically rewarded.
The Diamond Chamber of Commerce looks forward to walking this gravel road with all of you. We are available to provide support and assistance where we can. Afford us the opportunity to join you in this new journey.