Impact of Pandemic on Small Business: A Study on Rowlinson Knitwear

Impact of Pandemic on
Small Business

Table of Contents
Chapter 1: Introduction....................................................................................................................3
Introduction......................................................................................................................................3
Problem to be addressed:.................................................................................................................4
Chapter 2: Literature review............................................................................................................5
Chapter 3: Methodology................................................................................................................11
chapter 4: Data analysis and interpretation....................................................................................16
DISCUSSION................................................................................................................................29
Analysis based on the qualitative data:..........................................................................................29
Chapter 5: Conclusion, limitations and recommendations............................................................33
Conclusion.....................................................................................................................................33
Limitation of research:...................................................................................................................33
Recommendation:..........................................................................................................................34
REFERNCES:................................................................................................................................37
Books and Journals:..................................................................................................................37
Appendix:.......................................................................................................................................43

Chapter 1: Introduction
Introduction
Small business are the ones that are probability owned by sole proprietors that have less number
of employees and lower employee turnover. Growth opportunities in small business are less as
compared to large sector business. In the present timescale, the covid 19 situation has offered lot
of opportunities for growth of small business who are facing lot of issues in functioning and
operating. The organisations are not able to work properly because of the issues and challenges
that are arsing in the process (Grima., Dalli Gonzi and Thalassinos, 2020). The main aim of the
report is to analyse the overall impact of pandemic situation on the overall growth of small-
business. There will also be evaluation of the challenges that are faced by small business because
of the pandemic situation.
Research rationale: The main rationale of this research is to develop a detail overview of the
reasons and aspects of the issues that are faced by small business. There is need to develop some
of the effective strategies that can be adopted by small business for the purpose of mitigating the
challenges the pandemic (Buffington, Fields and Foster, 2021). The researcher is having some of
the aspects that is leaning and development of present researching skills that can assist in long
term development. The research work is going to help towards development of various skill sets
that is very crucial for future personal development that includes analytical skills, researching
skills that is necessary for having a professional researching base.
Research aim
Main aim of this research is “To identify the impact of pandemic situation on the growth of
small business within United Kingdom: A study on Rowlinson Knitwear
Research objectives
 To identify the challenges faced by small business due to pandemic
 To examine the role of government of UK in protecting small business from pandemic
 To recognise the strategies that would be used by small business of UK for reducing the
impact of pandemic on their growth
 To evaluate the benefits that are gained by small business by overcoming the challenges
of Pandemic
Research questions

what is the impact of pandemic situation on the growth of small business within United
Kingdom?
 What are the major challenges faced by Rowlinson Knitwear and the role played by
government in due to pandemic?
 What are the effective strategies that would be used by Rowlinson Knitwear for reducing
the impact of pandemic on their growth?
 What are the benefits that are gained by small business by overcoming the challenges of
Pandemic?
Problem to be addressed:
In the present scenario of covid 19 there is a situation where each and every industry has been
affected in a drastic manner because of fast changing macro environment. The major reason hy
small business have been facing issues was because of the social distancing restrictions and the
health, economic driven demand shifts that is taking place because of the Covid situation. There
are many small entrepreneurial and business ventures that are facing with impact of these
instances (Syriopoulos., 2020). The widespread closing of business and stores across the world
has lead to a understand impact of corona virus that is leading to many closers and it has become
impossible for the business to survive in this scenario. It is leading to a situation where small
business have to work towards creation of a business scenario where they can deal with the
Overall negative impact so that its effect can be managed (Papanikos, 2020). The report will be
based on evaluation of the challenges that is faced because of this pandemic situation and further
what are some of the effective strategies that are required to be formulated by Rowlinson
knitwear in order to manage this negative impact of pandemic is required to be analysed. The
overall uncertainty has led to lot of issues that are arsing in the situation that is leading to
difficulty in managing the changes and modification that are to be done because of covid 19
situation.

Chapter 2: Literature review
Theme 1: Major challenges faced by Rowlinson Knitwear due to pandemic.
Before the pandemic rowlinson related itself to larger and new premises with the main motive of
having proper review in working practises. There have been several key issues that has resulted
into difficulties and challenges in this pandemic situation for rowlinson knitwear as a small
business organisation. Such as for instance there is lack of communication, difficulty in
managing the day & night production teams. Apart from this there are also some of the issues in
terms of non-availability of the internal information related to the organisation which may posses
a impact on the overall functioning of the organisation.
As per the views of Buckman (2020), the global small business industry has been affected at a
staggering traded volume growth that is because of present covid 19 pandemic. This has resulted
into stagnant global economy that is trickled down towards worldwide supply chain (Hayden and
Parkin, 2020). There are lot of losses that are realised by business, suppliers and small business
manufactures.
Some of the main reason of crisis is the air & sea freight limitations that resulted into difficulty
to manage the overall market damned, land transportation has taken a hit. Land transportation
through truck drivers resulted into pandemic has truckers are now required to get permit to
operate as part of only essential service providers (Affandi and et. al, 2020). There is also high
demand for various local producer that includes medical suppliers and goods that need transport.
The covid 19 situation has resulted into lower demand and supply that is leading towards
difficulty in the process of managing the operational costs. In Rowlinson and other such small
business the main issues arise because of the lack of resilience strategies and overall contingency
plans (5 CHALLENGES FACING THE LOGISTICS INDUSTRY DUE TO COVID-19 AND HOW
TO SOLVE THEM, 2020).
the major impact is transmission channels that is manage the supply and demand side.
Organisation are experiencing a reduction in the labour supply, employees are unwell and they
have to look for their dependents. In small business supply chains are also interrupted that is
leading to shortage of some immediate goods (Gregurec, Tomičić Furjan and Tomičić-Pupek,,
2021). On the demand side there is sudden and dramatic loss of revenue and demand that has
affected the organisation ability to function. It is also leading to severe liquidity shortages that

may lead to loss of income, high amount of uncertainty and fear of contagion that is leading to
reduction in consumption and spending. Small business are accounting for vast majority of
organisations (Singh and et.al.,, 2020). SMEs are representing sectors that includes transportation
and tourism that has been affected by the covid 19 situation. There is limited number of
suppliers, small business reply on suppliers who are from regions and countries with high
number of covid cases that is leading to higher vulnerability (Meahjohn and Persad., 2021). It is
also associated with re building some of the connections that is factors that are part of supply
chain disruptions that have to be managed to deal with the overall impact of reducing demand.
Theme 2: The roles of government of UK in protecting Rowlinson Knitwear from pandemic.
As per BDO UK (2021), Government is working towards dealing with restrictions there
was another lock-down scenario in the year 2020 that started from December. So government
focussed on development of some economic support measures that can help some of the small
business to deal with such pandemic situation (Nummela, Harikkala-Laihinen and Raitis, 2020).
UK government worked towards having negotiations with European union to manage the
scenario of Brexit transition period at end of December 2020 (La Velle, and et.al., 2020).
there is mitigation of resources for SME that is resulting into Instances to have access to capital.
The overall period in which SME can survive the present scenario may result into large number
of restrictions for such small business (Marona and Tomal, 2020). In the present scenario, the
organisations especially small business are offered with coronavirus support that can help the
organisations in terms of being available for eligible for loans, cash grants and tax relief. It is
helping in acting proper support for the business that is very important to deal with this situation
of declining business productivity. In case of organisation like Rowlinson knitwear the
governments decision is to ensure that organisation posse accessibility to practical tool so that
there can be proper decision making (Nyashanu, Pfende and Ekpenyong, 2020). The financials
support is offered to small business organisations that is extended to garnet payment schemes
who can engage in new apprentices. It is a extension scheme for original measures under 18
years that is offered to smaller employers who are having a workforce of less than 50 employees
and are not liable for apprenticeship levy access with respect to existing payments.
Apart from this there is introduction of a scheme where chancellor has announce that
government will open new scheme in April 2021 that is to help business organisation to
resumption of the business soon after when the lock-down ends. With the present loan schemes

government is willing to underwrite the new loans schemes with 80 percent guarantee. This
scheme is going to offer invoice finance, overdrafts, term loans to assist finances to such small
business for a time period of up to six years (Hasanat and et. al, 2020). Different schemes that
are mostly used for supporting various small business includes bounce bank loan schemes
(BBLS), Coronavirus business interruption loan scheme (CBILS), COVID Corporate financing
facility (CCFF), Coronavirus large business interruption loan scheme (CIBILS).
Business rates relief is also a technique that is used across hospitality sector, leisure and retail
sector that is leading to benefits from business rates. This relief rate is also extended to 1 April
2021 to 30 June 2021. it is leading to benefits from business reduction rates of 66 percent that is
from the period of July 2021 through 31 march 2022.
Direct business grants is also a scheme started by the government of UK where there is restarting
of grants that is part of locals support that helps small business in having proper support. Apart
from this business organisation that are operating a duty deferment account may be facing some
of the sever financial difficulties because of the covid 19 impact (He, Zhang and Li, 2021).
They are unable to pay the deferred customs duties & import VAT that is required to get
approval to defer the whole or par of payment. HMRC confirmed that it is to be approved for
deferral that is guarantee that will not be called on and deferment account will not be suspended.
In some business organisation there are extreme level situations where employers are finding itr
difficult to continue with their present workforce so it becomes important for them to lay of
employees temporarily on furious because of the pandemic situation. So they are willing to apply
HMRC to help in retaining of those staff members (Wang, Iverson, and Kluender., 2020).
There are different potential taxation issues that is rising from international travel restrictions
that have to be deal with the tax residence problems that is individuals have to work towards
dealing with high taxation burden (COVID-19: government support for individuals and
businesses, 2021).
Theme 3: The effective strategies that would be used by Rowlinson Knitwear for reducing the
impact of pandemic on their growth.
As per view points of Moore (2020), there are some of the effective strategies that are being used
by the management of rowlinson knitwear for the purpose of dealing with this situation of

pandemic and its negative impact (ur Rahman, 2022). There was focus on having flexible
working practises by shifting to vulnerable colleagues to a full time working with employees.
Another issues that is faced in this scenario is the mental health of employees that is declining
with time. So leadership team in rowlinson knitwear is working towards managing the overall
mental health of employees to prevent its negative impact on overall working of employees and
their level of productivity (Bui, Jambulingam and Hung., 2021).
Strategies were focussed on ensuring that all hygiene regulations are properly met ad there is
sharing of changes as per team and individual conversation. There was creation of skeleton rota
that was created in the production team, that helped in managing the overall cross over. The
warehouse team managers have also reviews the working arrangements that realised the part of
job that is processing customer orders that can be done across remote areas. It helped in having a
hybrid working pattern to ensure working patterns that can lead towards high amount of
flexibility in the working area.
Supporting colleagues to ensure proper working for this purpose there were open communication
level and guidance that was offered for well being of team and then support the colleagues in
number of different ways (Park, 2020). There was higher flexibility about where the roles have
to be delivered, shifting of focus from hours towards higher output. It involves trusting managers
towards communication and work more closely with the teams to meet overall individual
requirements.
The team invested more resources and time to equip the staff members with skills and required
knowledge required to work across different departments that highlighted the importance to
enable redeployment, multi skilling of colleagues, that is real benefit for seasonal business.
Learning from experiences: there was creation of core customer care team, that is leaning about
the requirement of greater flexibility by roating the way colleagues are willing to work in the
organisation. Another key strategy that is used is the communication channels, having clear and
honest lines of communications have helped individuals and teams to contribute towards having
appropriate solutions rather than having organisation wide decisions being imposed (Naseri,
2021). This openness has assisted in overcoming the issues that have been arising because of
remote working and has contributed towards development of a well focused culture.