May Survey Summary
The Manufacturing Alliance of Bucks & Montgomery Counties and the statewide SEWN organization, launched a quick snap-shot survey of business leaders across the state. We received 173 responses, and while a small segment, the survey showed 74% of those responding have been open the entire time and an additional 16% have been open most of the time. The feedback from these veterans of COVID-19 crisis management provides us with some helpful insights and a couple of troubling issues on the horizon. The survey highlights are as follows:
- 88% figured out how to get enough PPE supplies to provide for their entire workforce
- 96% figured out how to make COVID-19 regulation accommodations with little or no difficulty
- 79% managed to keep at least 80% of their workforce on the job during the entire crisis
- 71% received a Payroll Protection Plan (PPP) grant
- 49% said they can meet the grant forgiveness workforce level requirements; 46% not sure
- 46% can meet the spending timelines; 36% more said yes if the timeline is extended
When asked to project their level of operating cash on July 1, 2020, 49% of the companies said they were looking good. However, 36% said they were tentative and 15% said they don't have enough.
Taking the projection step to another area, we asked the owners to share their sales backlog status for June. The feedback highlights an immediate challenge:
- 22% are above forecast
- 29% are below by 0-15%
- 25% are below by 16-30%
- 24% are below by +30%
- 25% project to end the year above forecast
- 59% said they will continue to trend down
- 16% said the rest of the year is looking bleak
- 24% said they could offset the added costs and will finish better than forecast
- 46% said added COVID-19 costs will reduce profits by 1-25%
- 19% said a 26-50% profit reduction will occur
- 17% said profits would be down by over 50%
Building off the theme of learning from businesses that have traveled the COVID-19 crisis journey, we are developing a series of company success and failure stories. Our goal is to provide examples so that business leaders can apply these nuggets of knowledge to their own individual situations.