Andhra Pradesh: Business owners struggle to meet expenses, call govt for help

VISAKHAPATNAM: Owing to the nationwide lockdown, entrepreneurs are struggling to meet expenses with their businesses having come to a standstill.
Even though offices, shops and factories are closed, business owners still have to pay rent, salaries, electricity bills, interest on loans and meet a host of other expenditures.
Speaking to TOI, Shanti Prabhu, the owner of a unisex salon in Vizianagaram, said, “I have employed two hairstylists and two beauticians at my salon.They come from different parts of the country. Although I have agreed to pay their salaries and expenses this month, I have informed them that I’ll not be able to make the payments next month.”
“However, they aren’t agreeing to this as they say that they are the sole breadwinners of their families,” Prabhu added.
Prabhu further said, “I spoke to the owners of my shop and asked if they would consider not taking rent. But the shop owner flatly refused and asked me to deposit the rent. Even my livelihood depends on my business. If I cannot meet my own expenses, it’ll be impossible to feed my staff.”
Another small business owner, K Prakash, who runs a gift store in Siripuram, said, “There are six people who work at the store. Since I will have to pay their salaries and meet other expenses, it is going to be very difficult to pay the high rents without any business.”
Sudhir Mulagada, chairman of AP Chambers, said, “The AP Chambers envisages that there may be severe crisis and huge revenue and job losses across industries under the prevailing circumstances. Many units in Visakhapatnam Special Economic Zone (VSEZ) are facing financial stress at this juncture. Most units are either shut down or working at lower capacities.”
Since these units are mostly dependent on exports and airlines are not operational and importing countries are also facing a crisis, they are unable to move manufactured goods from factory premises. Some clients have either cancelled orders or have postponed orders and procurement, Mulagada said.
The AP Chambers has made a request to Union minister of commerce and industry Piyush Goyal asking that rent, water bills and other maintenance charges are waived from April to June.