If you have a business which looks in good shape to ride out the rest of the year despite the pandemic then next year could be a very good one for you indeed. I was chatting with a good friend of mine last week and she works at the lender Sertant Capital. What she was talking about was the need for investment in businesses but at the moment it is of course a higher risk topic than ever before, because so many businesses are being forced to close down, after all nobody wants to invest in a sinking ship.
With this being said however, 2021 promises a great deal for those businesses which are able to make it through this year.
A Need to Invest
Something which is very important to bear in mind here is that the opportune time for an investor is post-crisis. This is the moment when businesses are struggling and need money, this is when costs are lower than ever before and stocks are on the floor. This is why once this pandemic is over we can anticipate that there will be huge amount of opportunity in the business world and investors will know this only too well. The result therefore is a great chance for businesses to seek investment.
The number of businesses which have been forced to close their doors this year as a result of the pandemic has meant that those who have survived will have eaten up some of that market share. What investors will know only too well though is that if they back the right business, there is plenty of profit to be made through the filling of the gap which those closed businesses have left behind.
Governments around the world are absolutely desperate to get their economies moving again and that it is why we are highly likely to see incentives with regards to investors. This will likely arrive in the shape of tax breaks to get people investing in businesses and that could very well benefit you. What we have to remember here is that things are not going back to what they used to be for a very long time and the number on eating that has to happen in every country in the world is to get the economy moving as this brings jobs, tax revenue and of course, investment .
Your very own survival is something which will make you incredibly investable. We have seen some amazing actions from businesses who have done whatever they could to survive and any investor would look kindly upon that fact. This is no easy feat and as mentioned there have been an enormous amount of companies in all sectors which have been forced to close down forever, the fact that you haven’t is certainly something that could help you to get that much needed cash injection next year.