--- title: "Looking forward to 2022: Covid cash flow woes" description: Covid continued to wreak havoc on the UK’s SME ecosystem throughout 2021, with 42% of SMEs financing their business through borrowing during the pandemic to-date. This trend looks set to continue as December 2021 brings about the rise of the Omicron variant, causing the government to re-impose some of the restrictions that were eased earlier […] --- [Skip to content](https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes#main-content) Satago Financial Solutions Limited Open main navigation Close main navigation - [Contact us](https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes#contact) [Contact us](https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes#contact) Dec 7, 2021 9:25:17 PM # Looking forward to 2022: Covid cash flow woes [Satago](https://go.satago.com/satago.com/author/satago) Share: [facebook-f icon](http://www.facebook.com/share.php?u=https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes) [linkedin-in icon](http://www.linkedin.com/shareArticle?mini=true&url=https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes) [Twitter icon](https://twitter.com/intent/tweet?url=https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes) [pinterest-p icon](http://pinterest.com/pin/create/link/?url=https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes) [envelope icon](mailto:?body=https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes) Covid continued to wreak havoc on the UK’s SME ecosystem throughout 2021, with [42% of SMEs financing their business through borrowing](https://go.satago.com/satago.com/post/https/assets.ey.com/content/dam/ey-sites/ey-com/en_be/topics/financial-services/ey-the-voice-of-the-sme-research-insights.pdf) during the pandemic to-date. This trend looks set to continue as December 2021 brings about the rise of the Omicron variant, causing the government to re-impose some of the restrictions that were eased earlier this year. ‍SMEs forcefully closed in local lockdowns or adhering to social distancing rules had it particularly tough, with the [Bank of England](https://www.bankofengland.co.uk/working-paper/2021/did-the-covid-19-local-lockdowns-reduce-business-activity-evidence-from-uk-smes) confirming that “during the local lockdowns, the average turnover growth for SMEs in the UK was around -20%” while costs exceeded turnover and further reduced cash flow. This left suppliers and customers holding on to their cash, while turnover reduced following lockdowns and staff shortages, or demand increased exponentially together with supply chain disruption. ‍Manufacturers are still struggling due to supply chain disruption and staff shortages, research from Make UK and RSM has found. [The Times](https://www.thetimes.co.uk/article/third-of-manufacturers-close-to-tipping-point-zjzzkkh5r) stated this “could prove the ‘tipping point’ for businesses under strain, as customers and suppliers cling to cash or change their payment terms” If your business has money tied up in unpaid invoices ahead of the festive season, you could get an advance using invoice finance. Invoice finance is a quick and easy way to ease cashflow while you wait for customers to pay you. Here’s [5 ways invoice finance could help](https://www.satago.com/post/5-ways-invoice-finance-can-help-your-business) your business. Looking forward to 2022, Commercial Finance Broker, Carole Roe shared some advice in her recent interview, “there are many other options and alternative lending options available but a lot of rabbit holes you can fall down if you don’t know where to look or what you’re signing up to. This is where a good broker is worth their weight in gold.” ‍She also recommends Invoice Finance over other forms of funding as “it’s a hugely flexible, convenient light form of funding that will always grow with you. Unlike a loan or an overdraft you’ll never have to re-negotiate your funding line.” If you’d like to learn more about how Satago can support your business with invoice finance, please [get in touch with the team](https://outlook.office365.com/owa/calendar/SatagoDemo@satago.com/bookings/s/syoMWROEhUKvJOTxSmcUDw2) or apply through the platform. [Cash management](https://go.satago.com/satago.com/tag/cash-management), [On Cashflow](https://go.satago.com/satago.com/tag/on-cashflow) ## Related posts [Broker interview](https://go.satago.com/satago.com/tag/broker-interview) ## [Broker interview: Guy Bridge, Finpoint](https://go.satago.com/satago.com/post/broker-interview-guy-bridge-finpoint) [Gareth Pritchard](https://go.satago.com/satago.com/author/gareth-pritchard) Jan 31, 2022 5:08:58 PM We caught up with commercial finance broker, Guy Bridge from Finpoint, to discuss what it means to... [Read more](https://go.satago.com/satago.com/post/broker-interview-guy-bridge-finpoint) [![](https://go.satago.com/hs-fs/hubfs/Imported_Blog_Media/money-matters-logo-large.jpg?height=200&name=money-matters-logo-large.jpg)](https://go.satago.com/satago.com/post/broker-interview-jeremy-element-money-matters) [Broker interview](https://go.satago.com/satago.com/tag/broker-interview) ## [Broker interview: Jeremy Element, Money Matters](https://go.satago.com/satago.com/post/broker-interview-jeremy-element-money-matters) [Gareth Pritchard](https://go.satago.com/satago.com/author/gareth-pritchard) Mar 24, 2022 10:05:39 AM We caught up with Jeremy Element, Owner from Money Matters, to discuss what it means to be working... [Read more](https://go.satago.com/satago.com/post/broker-interview-jeremy-element-money-matters) [![](https://go.satago.com/hs-fs/hubfs/Imported_Blog_Media/hybrid-working-connecting.jpg?height=200&name=hybrid-working-connecting.jpg)](https://go.satago.com/satago.com/post/connecting-with-clients-in-a-hybrid-working-world) [Accountant](https://go.satago.com/satago.com/tag/accountant) ## [Connecting with clients in a hybrid working world](https://go.satago.com/satago.com/post/connecting-with-clients-in-a-hybrid-working-world) [James Weaver](https://go.satago.com/satago.com/author/james-weaver) Apr 19, 2022 2:13:14 PM It may be well into 2022, but the working world remains changed for many firms. Throughout... [Read more](https://go.satago.com/satago.com/post/connecting-with-clients-in-a-hybrid-working-world) facebook-f icon linkedin-in icon Twitter icon instagram icon - Menu Item 1 - Sub-menu Item 1 - Another Item - Sub-menu Item 2 - Menu Item 2 - Yet Another Item - Menu Item 3 - Menu Item 4 --- # Satago Financial Solutions Limited 123 Main Street, City, State 11111 Copyright © 2026, Satago Financial Solutions Limited ```json { "@context" : "https://schema.org", "@type" : "BlogPosting", "author" : { "@type" : "Person", "name" : "Satago", "url" : "https://go.satago.com/satago.com/author/satago" }, "dateModified" : "2024-07-22T12:57:29.642Z", "datePublished" : "2021-12-07T21:25:17.000Z", "headline" : "Looking forward to 2022: Covid cash flow woes", "mainEntityOfPage" : { "@id" : "https://go.satago.com/satago.com/post/looking-forward-to-2022-covid-cash-flow-woes-will-continue-for-smes", "@type" : "WebPage" }, "publisher" : { "@type" : "Organization", "logo" : { "@type" : "ImageObject", "url" : "https://go.satago.com/hubfs/satago-blue-logo.svg" }, "name" : "Satago Financial Solutions Limited" } } ```