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Another Lockdown Dampens Australian Businesses

While citizens still get to move around for essential activities, new rules continue to stifle small and middle-market businesses

People and companies in different parts of the country felt the effect of the COVID19 pandemic and the 2020 lockdown. There was a widespread financial crisis and an unprecedented scarcity of resources.

It took some specially crafted policies, including local and foreign aid, to deal with the unpleasant situation. When people thought they could have their lives back, the threat of another lockdown emerged.

There is ongoing unrest in Australia as the country gradually slips into another lockdown to combat the spread of the highly contagious virus. As the number of infected people steadily increases, the government has imposed fresh lockdown laws on some states.

While citizens still get to move around to sort out their essential activities, these new laws will only stifle small and middle-market enterprises (SMEs) in the country.

Due to last year's pandemic and the lockdown, many SMEs were put out of business - temporarily and permanently. Most businesses could not sell their products and services because people had to stay at home.

Only large companies and multinational corporations were able to leverage their massive pool of financial resources to stay afloat. These big names adopted eCommerce channels and an efficient delivery system to keep selling their products while others incurred more losses.

Many SMEs were compelled to retrench their personnel and close due to a lack of resources to compete with major enterprises.

Small and medium enterprises that have recovered from the pandemic are, once again, at risk with a familiar problem on the horizon – news of a new lockdown.

These unfolding events have significantly dampened the morale of small businesses owners who had only begun to reopen a few months ago.

While many SMEs are contemplating their next course of action because of the unpredictability of the pandemic, some have proceeded to sell off whatever stock they had left.

This uncertainty leaves questions that small business owners don’t want to answer. While the Australian government continues to provide avenues to support small businesses, troubled entrepreneurs hope that these questions will cease to exist in the coming years.

Megan Kelly

About the author

Megan is the Content Manager for Dynamis and researches and writes for She is an expert writer and aspiring digital marketer.


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