14 May 2020

TO ALL ACCOUNTANTS

IFAC LAUNCHES SMALL BUSINESS CONTINUITY CHECKLIST

On 11 May 2020, International Federation of Accountants (IFAC) published a ‘Small Business Continuity Checklist – How to Survive and Thrive Post Covid-19’ (the Checklist) for small businesses that have been disproportionately affected by the COVID-19 pandemic.

COVID-19 containment measures severely impacted cash-flows, disrupted supply chains and put small business survival at risk on an unprecedented scale. Governments worldwide moved quickly to deploy supportive measures for small businesses and entrepreneurs to help them maintain short-term liquidity. However, many are still struggling.

Poor financial management is a leading reason why businesses fail. The Checklist covers key financial management and strategic management tasks, helping businesses to proactively identify and consider essential and timely information.Many businesses are looking for the “next normal” and a new approach to resilience. Early on, the pandemic accelerated digitization and transformed small businesses responding to drastic consumer behaviour shifts. The ability of small businesses to survive the current environment, and thrive in the future, will be greatly strengthened by support from their professional accountant. Small- and medium-sized practices (SMPs) have in-depth knowledge of their clients and provide vital guidance for navigating these uncertain times.The Checklist is included on IFAC’s dedicated COVID-19 web page with many other useful resources.