Businesses can’t ignore Brexit

New research commissioned by InterTradeIreland reveal just six per cent of cross-border traders are prepared for cash flow and liquidity issues in the event of a no-deal Brexit.

We are now only a month away from Brexit but only the same small amount of businesses have examined the possible legal implications on business contracts if the United Kingdom leaves the EU. The consequences if market access changes mean businesses could be exposed to significant additional costs, unless they take steps to protect themselves.

Tariffs could strike at the very viability of SMEs in the event of a hard Brexit. InterTradeIreland’s latest Business Monitor highlighted that just 12 per cent of SMEs that trade across the border have looked at the possible impact of extra taxes on their business.

InterTradeIreland is launching a new campaign this week to encourage cross-border traders to plan for Brexit and its the research underlines the need to companies to start acting now.

Aidan Gough, InterTradeIreland’s Designated Officer and Director of Strategy and Policy said: “Ignoring Brexit is a bigger issue than not preparing for it. Failing to take into account how it may impact your business could be very detrimental down the line.”

The new campaign “will be a significant departure for InterTradeIreland. It recognises that Brexit is the elephant in the room and with the deadline of 31 October fast approaching, Brexit is now just too big to brush under the carpet. InterTradeIreland is also expanding its offering to include Bitesize Brexit, a new online space that is a one-stop shop for cross-border traders.

“At the moment there are around twenty thousand cross-border traders on the island of Ireland. A substantial proportion of these are micro-businesses, particularly vulnerable to changes in current trading arrangements.”

The new research also shows continuity of supply is an additional problem that could hinder cross-border businesses and the ability to trade, but only less than one in ten have taken steps to interrogate their supply chain.