Lack of Successors at Japan Firms Becoming Serious amid Virus Crisis

Economy Politics

Tokyo, May 9 (Jiji Press)--The coronavirus pandemic is dealing an additional blow to owners of struggling small and midsize businesses in Japan.

With demand unlikely to recover anytime soon, it is becoming even more difficult for owners of such businesses, in the hotel and restaurant sector in particular, to find successors.

Due to the difficulty, an increasing number of small and midsize firms are ending up closing their businesses.

The government has been stepping up financial support for such businesses as small and midsize firms account for about 70 pct of all jobs in the country.

The number of bankruptcies triggered by the coronavirus crisis started surging in April, reaching 100 as of April 27, according to credit research firm Tokyo Shoko Research Ltd.

[Copyright The Jiji Press, Ltd.]

Jiji Press