COVID-19 has effected the IT industry in many ways. Here’s a short article on what our CEO has to say about it.

It moves on apace and things are changing day-by-day. The credit issue I brought up on a previous post, is starting to bite many companies.

A small supplier of our sent this out today;

“Our credit insurer has blocked our limits, we’d need to operate on an upfront BACS basis, this is what I have been told by accounts. Until they reinstate them, it is a procedure they have taken because of Covid-19. This is not XXXXX decision but the insurer”. Credit Crunch 2.0 coming, we await and see??

In addition, we’ve had a a client send an email to us saying that due to Covid-19 they are unable to pay suppliers, so can they extend the payment over 4 monthly payments. Fortunately, this is a very small amount for us but for others, they may owe a lot lot more.

So, with credit being tightened and suppliers not paying per usual the IT partnership industry could see some real squeezing.

As said before, we are in a very fortunate position, with clients in industries that are not effected by the current Covid-19 issues, that are Banking and Igaming (AKA online gambling). So we watch what is going on around us in a strong position and I’ll send out