With the general strike in Martinique and Guadeloupe, it is clear that small businesses suffer the consequences. What it really? How to deal with difficulties?
The strikebreakers are sure to push the door open by saying: "Small businesses will pay for the capital of the country."
Let's be objective:
How to generate the deficit when the country is locked? For it is in a general strike.
Each year 20% of local businesses disappear. But much to recreate; more.
Could it be the Caribbean that are more stupid than the others?
It is clear that in one month (or two), strike, should be noted the inextricable economic decline ... During a strike, wages are normally paid to employees?
How can you pay a fee to a complete halt? This is very strange.
The damage should come from:
* Perishables
* Wage
* Operating expenses (not possible while it is stopped)
Any good company should be ensured in case of the smooth operation, whether the destruction of its product, various disasters or temporary immobilization. But a strike is a temporary immobilization.
But unfortunately for our small businesses is the lack of information for 80% of them. We do walk all day for bread, so imagine a merchant or a craftsman who would like to find an insurance company who would cover it in case of temporary interruption of business.
Already during the design process, they face an obstacle course. Specifically when it comes to financing tools. As for furniture, or other material goods, there is no real problem.
In the case of a major strike, the bosses "play time" because, so they are compensated by their insurance, must be 32 days minimum capital (for operating losses). And as so often in the Caribbean, when you are not informed, your boss tells you he can not pay you. This is relatively true. In general, these assurances are expensive, only large companies can afford to contribute. For others, there is insurance that will cover a range from 25 to 60%. But it's still good.
Example of evaluation of compensation operating loss
A company must make sales to € 12 million before it was destroyed by fire.
The analysis of its accounting charges relative to its past results shows:
- Costs vary depending on the level of sales is 60%: 7.2 million €
- The fixed costs incurred even if the activity or stop in total are: € 3 million
- And a profit before tax: € 1.8 million.
The fire had the effect of losing 50% of sales before returning to normal levels. Of the € 6 million in lost sales:
- 60% of purchases variable revenue lost need not be compensated because it had not been committed,
- About € 3 million of fixed charges, corresponding to 50% lost sales must be compensated or € 1.5 million,
- € 1.8 million on the earning power of 50% corresponding to lost sales must be compensated or € 0.9 million.
Thus, the operating loss is compensable 1.5 + 0.9 = 2.4 million, allowing the company to restore its profit to € 1.8 million.
Source: ContrExpert.com
In all cases the figures, compensation still requires financial expertise.
There are a multitude of methods and insurance services for compensation of lost profits. Move closer to your county Chamber of Commerce and a specialized company.
As for local businesses, over 70% of local companies are made up of entrepreneurs (sole proprietorships), and 60% of them are not hiring any employee (2003-2006 figures are current with 5 % tolerance). [...]
Following on consodom
2
Latest Comments