# Looking beyond lockdown: the new opportunities for SME’s in a post-pandemic world Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2021-06-11 Category: BUSINESS Category URL: https://financedigest.com/category/business Meta Title: Navigating Challenges: SMEs Facing COVID-19 and Brexit Meta Description: Discover how small and medium businesses are innovating amidst challenges of COVID-19 and Brexit, with insights from Dun & Bradstreet's research. URL: https://financedigest.com/looking-beyond-lockdown-the-new-opportunities-for-smes-in-a-post-pandemic-worldhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/life-after-lockdown-1736838284293-compressed.jpg) _By **Tim Vine,** Head of International Finance & Risk Solutions at Dun & Bradstreet_ It’s fair to say that small and medium sized businesses – just like everyone else in the world – have had it rough recently. COVID-19 has done more than rock the boat. It’s completely capsized it, leaving businesses to tread water the best they can. In a world where high streets are barren and shops needed to [close their doors](https://www.financedigest.com/banking-stability-worries-go-behind-closed-doors-at-imf-world-bank-meetings.html "Banking stability worries go behind closed doors at IMF-World Bank meetings") to the public, merely surviving has become the sole objective for many. But the pandemic isn’t the only difficultly [SMEs have recently faced](https://www.financedigest.com/smes-facing-an-uncertain-future.html "SMEs facing an uncertain future"). The uncertainty of Brexit is also [casting its shadow](https://www.financedigest.com/cost-of-living-crisis-casts-shadow-over-europes-black-friday.html "Cost-of-living crisis casts shadow over Europe’s Black Friday") over the future. The combined threat of [COVID and Brexit](https://www.financedigest.com/for-britains-chicken-farmers-brexit-and-covid-brew-a-perfect-storm.html "For Britain’s chicken farmers, Brexit and COVID brew a perfect storm") has resulted in a disruptive 2020 and an equally challenging 2021. In fact, research commissioned by Dun & Bradstreet found that half of SMEs (51%) believe they will suffer the effects of COVID-19 even more acutely in 2021. The research, which included a survey of 750 SMEs, found more than half (54%) [say the impact](https://www.financedigest.com/stanchart-ceo-says-at1-bond-wipeout-has-profound-impact.html "StanChart CEO says AT1 bond wipeout has profound impact") of COVID-19 has made them less confident their business will be successful, with 56% saying that the pandemic has made it difficult for them to plan for the future. While UK SMEs have received over [£46billion](https://www.ft.com/content/b6e50a11-437d-48c9-8610-f9c5f9e3dde3) through the Bounce Back Loan Scheme, those loans will still need to be paid back. The [impact of Brexit](https://www.financedigest.com/brexit-might-impact-our-migrant-pool-magazine.html "“Brexit might impact our migrant pool.”-Magazine") seems similarly as disruptive. Exactly half of those surveyed [say they are less confident in the success of their business](https://www.financedigest.com/exclusive-qatarenergy-boss-says-world-cup-tension-will-not-impact-german-business.html "Exclusive-QatarEnergy boss says World Cup tension will not impact German business") due to Brexit, as they attempt to unravel what the terms of a new trade agreement will mean for how they operate. A further 51% also worry about their ability to attract talent in a [post-Brexit world](https://www.financedigest.com/certainty-in-an-uncertain-world-post-brexit-investors-turn-to-commercial-property-and-fixed-returns.html "Certainty in an uncertain world – post-Brexit investors turn to commercial property and fixed returns") – which is understandable considering many are already facing a significant skills gap. Yes, the numbers paint a troubling picture. However, it’s not all [doom and gloom](https://www.financedigest.com/its-not-all-gloom-and-doom-at-the-moment.html "It’s not all gloom and doom at the moment"). Despite the uncertainty, many businesses are using the disruption as a chance to rethink their [business and grab new opportunities](https://www.financedigest.com/challenger-banks-missing-golden-opportunity-to-steal-business-from-competitors-by-repeating-same-old-mistakes.html "Challenger Banks Missing Golden Opportunity To Steal Business From Competitors By Repeating Same Old Mistakes"). So with that being said, let’s examine some of the ways [businesses are managing](https://www.financedigest.com/workforce-management-the-next-cloud-resource-for-businesses.html "Workforce management; the next cloud resource for businesses?") to innovate. **Embracing opportunity** Pressure is the ultimate driver of innovation, and that has certainly been true lately. Dun & Bradstreet’s research shows 51% of [SMEs have introduced new services](https://www.financedigest.com/hermes-bolsters-sme-service-with-significant-investment.html "HERMES BOLSTERS SME SERVICE WITH SIGNIFICANT INVESTMENT") as a direct result of the pandemic. These new services have seized the [opportunity to utilise new ways of doing business](https://www.financedigest.com/the-north-heads-south-to-mipim-en-masse-to-corner-new-real-estate-business-opportunities.html "The North heads South to MIPIM en masse to corner new real estate business opportunities"). Delivery services, kerbside pickup, and other online [options have emerged and aided SME](https://www.financedigest.com/what-needs-to-happen-to-improve-the-landscape-for-smes-trying-to-access-finance-options-in-the-uk.html "What needs to happen to improve the landscape for SMEs trying to access finance options in the UK") survival, and in some cases given them the ability to thrive. Businesses that have adapted have [gained a huge amount of resilience](https://www.financedigest.com/stocks-dollar-gain-on-resilient-u-s-economy.html "Stocks, dollar gain on resilient U.S. economy"), and will have newfound capacity to evolve in uncertain times. Not only that, but many services will likely be relevant after the pandemic, [giving them an advantage over the competition even when the world](https://www.financedigest.com/uk-gives-bbc-world-service-20-million-pounds-to-support-english-language-broadcasting.html "UK gives BBC World Service 20 million pounds to support English language broadcasting") settles down. Another area of opportunity is the more sophisticated use of data. During [disruptive times it’s critical businesses](https://www.financedigest.com/learning-from-the-disrupters-how-finance-brands-can-build-transformative-business-models.html "Learning from the disrupters – how finance brands can build transformative business models") make the right decisions. Data is an incredibly useful tool for gaining new insights and ensuring decisions are as well-informed as possible. For example, there are risks associated when identifying new [business partners](https://www.financedigest.com/the-evolving-role-of-the-cfo-from-scorekeeper-to-business-partner.html "The Evolving Role of the CFO: From Scorekeeper to Business Partner"), and relying on personal references might not be enough. Using data to fully understand the financial situation of business partners, suppliers, and even customers helps businesses mitigate risk and pre-empt any roadblocks further down the road – late payments for example, which is something that can be [hugely impactful](https://www.dnb.co.uk/perspectives/small-business/sme-late-payments.html) on UK SMEs. Taking the point more broadly, [data can help SMEs regarding their customers](https://www.financedigest.com/allianz-benelux-taps-into-modern-data-management-to-combat-fraud-and-foster-a-positive-customer-experience.html "Allianz Benelux Taps into Modern Data Management to Combat Fraud and Foster a Positive Customer Experience"), competitor analysis, and the identification of potential business risks. Whatever the decision, a strategy [backed with data brings much needed clarity to an uncertain world](https://www.financedigest.com/analysis-at-world-cup-saudi-crown-prince-moves-back-on-to-global-stage.html "Analysis-At World Cup, Saudi crown prince moves back on to global stage"). **Turning to technology** A final area of opportunity is the use of technology. This feeds back into the first [point about launching new services](https://www.financedigest.com/service-the-cfo-why-context-is-worth-80-iq-points.html "Service & The CFO: Why Context Is Worth 80 IQ Points"), because in many cases it’s technology which allows SMEs to do so. Going [back to the Dun & Bradstreet report](https://www.financedigest.com/its-back-to-school-for-investors-as-uk-student-accommodation-less-vulnerable-to-brexit-shock-reports-jll.html "It’s back to school for investors as UK student accommodation “less vulnerable to Brexit shock” reports JLL"), 50% of businesses have pivoted to home delivery over lockdown – something that would not be possible in many cases without technology. There’s also a huge armoury of [operational and transactional technologies which are being quickly](https://www.financedigest.com/how-can-network-operators-monetise-television-quickly-and-effectively.html "How can network operators monetise television quickly and effectively?") embraced. Over half (52%) of SMBs have started taking online payments for the first time over lockdown, and the [accelerated adoption of cloud shows that businesses are quickly becoming more tech](https://www.financedigest.com/final-call-for-entries-to-tech-start-up-accelerator.html "FINAL CALL FOR ENTRIES TO TECH START-UP ACCELERATOR") savvy. Once again, the benefits of tech adoption are twofold. In the short term, it builds resilience – something which is critical right now. But in the long term, it [gives SMEs](https://www.financedigest.com/legislate-raises-3-6m-to-give-startups-smes-the-technology-to-query-and-compare-every-contract.html "Legislate raises .6M to give startups & SMEs the technology to query and compare every contract") the tools to hit the ground running when the pandemic ends and build a competitive advantage. COVID-19 has undoubtedly been terrible for everyone. But for [small businesses](https://www.financedigest.com/5-common-tax-mistakes-small-businesses-make-in-australia.html "5 Common Tax Mistakes Small Businesses Make in Australia") there is a silver lining. The use of data, adoption of technology, and newfound confidence in [launching new services](https://www.financedigest.com/heritage-launches-multi-car-insurance-service.html "Heritage launches Multi-Car insurance service") are all bright spots; embers among the ashes of 2020. [Small businesses](https://www.financedigest.com/pakistan-floods-add-to-pain-for-struggling-small-businesses.html "Pakistan floods add to pain for struggling small businesses") would do well to blow on them now to help spark a more prosperous future. --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---