"In many cases, their financial situation is already fragile, so liquidity shifts – even though for just a few months - can be very critical. Finally, the opportunity to raise venture capital may be limited during an economic crisis, with investors focusing primarily on their existing investments.”
Image: Klavs Hjorth, Head of Growth & Impact, Danske Bank
The study from TheHub also shows that more than every third start-up is forecasting the need to reduce staffing during 2020 as a direct consequence of the Corona crisis.
“We need to make sure that the crisis in relation to COVID-19 does not remove the basis of existence for these companies, meant to secure growth and jobs in our society both now and in the future. In Danske Bank, we want to be visible and active both by helping - financially and through counselling - during the crisis and after the crisis, so that growth for these companies can be restored as quickly as possible," says Klavs Hjorth.
Facts about the survey
- The survey has been running since March 18 via The Hub and is still running.
- The purpose is to get the start-ups themselves out into words how the Corona crisis is actually affecting their business.
- The article is based on responses from 468 participating start-ups in four countries: Denmark, Norway, Finland and Northern Ireland.