Most companies around the world are feeling the pain of the 2020 corona virus somehow. In Taiwan we are proud of how the government and the people have worked together on how to so far (April 2020) keeping the sick to less than 400 people.
Even though Taiwan is not completely closed down like many other countries, many restaurants and bars are feeling the pain as people are less likely to go out and sit within coughing distance of strangers.
A business does not have have to see their business go down to zero to be in trouble of course. The government has instituted several different rounds of support for businesses hurting from the effects of virus.
For example, the Ministry of Labor has introduced a 6 month grace period for the payment of labor insurance and pension. This would be like getting a loan for 6 months. Check out more information here: https://www.bli.gov.tw/
For many companies, salaries are their biggest expense. What are your options if one or more people can’t work due to the virus?
If one of your employees would get tested positive with Corona and it is deemed that it had nothing to do with your company, they can stay home and the government will pay them some money every day they are forced to stay home.
If the employee contracted the virus during the course of work, let’s say during a sales meeting, you would still have to pay them during their stay. if they really get ill and have to be hospitalized, you might also be liable for damages if the costs are higher than what the government labor insurance covers.
Sometimes we hear about companies putting their employees on furlough, basically sending them home on unpaid leave. This option might seem nice to a business owner who has seen his revenues dwindle or if the employees have been ordered to stay safe at home. If your business is going that way, you would need to ask your employees to agree to a salary decrease. Legally salaries could be lowered down to the minimum salaries of NTD23,800, but the key point is that your employees has to agree. If they don’t, perhaps bankruptcy is your only choice.
Or perhaps some of the other government support programs could be the life line you need?
The Ministry of Economic Affairs (MOEA) offers R & D projects subsidies specifically for companies suffering from COVID-19: https://www.sbir.org.tw/download_covid19
MOEA also offers a special virus case subsidy: https://tiip.itnet.org.tw/indexNewsContent.php?id=365
The Industrial Development Bureau (IDB) offers counseling for small and medium-sized manufacturing industries affected by the virus: https://www.mittw.org.tw/mitpro/news/news-more.aspx?fAFUiGnc2p0%3d
There are special R&D grants for traditional industries affected by the virus: https://www.citd.moeaidb.gov.tw/CITDWeb/Web/Upload/eae84621-3d8f-4bae-8e63-171206dca67b.pdf
Subsidies for cultural and arts: https://mocfile.moc.gov.tw/files/202003/5f9d9b7c-6fbf-4bf5-b382-e3f663ce1c02.pdf
And if you are in the tourism industry, the Ministry of Communications have some credit guarantees to offer: