COVID-19: Ways To Manage Cash Flow

In brief

The coronavirus (COVID-19), and the measures taken by the governments to avoid the spreading of the virus, have already affected many businesses worldwide, including Cyprus. Although the full impact of the pandemic is still unknown, it is expected that it will significantly affect the global economy. Many businesses and especially small and medium sized enterprises will experience a hit not only on their profitability but more importantly, on their liquidity. Among other areas that could be addressed for managing cash flow, businesses need to consider VAT and Customs Duties as these can be their largest outflows.   Below we outline certain measures in relation to indirect taxes (VAT and Customs) that you can consider, in order to avoid business disruption but also reshape your business model and plan for recovery.