Cycle shops are set to be among the least affected type of business by a reduction in consumer spending over the next 12 months as a result of the COVID-19 pandemic.
New research from the personal finance comparison site finder.com found that 87% of Brits plan to maintain or increase their spending at bicycle shops compared to pre-lockdown levels.
In terms of those who will reduce their spend, only 5% of Brits plan to do this with cycle shops. Across the whole study, 66% of consumers plan to spend less next year, showing how sales and maintenance of bikes are set to be less affected than some other businesses.
In a further boost to the industry, finder.com also asked what major purchases Brits were planning to make over the next 12 months, and around one in seven (14%) said they plan to purchase a bicycle in this time.
Matt Slater, credit and loans specialist at finder.com said: “The last few months have brought a huge amount of disruption to most sectors, and this is reflected in the number of businesses that have sought out the government-backed CBILS and Bounce Back loan schemes.
“As many key business sectors start to get back to normal so will the business lending market, but expect a slow and steady approach. The Government’s support for small businesses during COVID-19, in the shape of its loan schemes, will have an expiry date and we’ll likely see lenders cautiously return to lending through regular stream albeit in a very low-risk way.
“For small to medium-sized business owners that will require additional funds in the shape of a business loan in the near future, the Government-backed schemes are still their best option with CBILS and BBLS being the most likely routes to securing a loan.”
To see the research in full and the paper Business loans in lockdown and beyond: How SMEs are funding their future, click here.
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