4 challenges for SMEs in Mexico during 2023

The pandemic context is practically behind us, 2022 ends and the sights of SMEs in Mexico are set on what awaits them for 2023.

It is estimated that during the covid crisis, between 2019 and 2021, 1.6 million companies were forced to close their doors. For this reason, many businesses that did not want to follow the same fate had to initiate strategies to avoid disappearing, such as innovating and implementing new business models.

This is maintained, but it is necessary to anticipate the scenario that is coming in the face of the new year, to face it with a good business strategy.

The outlook for SMEs in Mexico, in 2023

To know the future that SMEs will face, it is necessary to first understand what the general economic panorama is and how the country will face it next year.

According to the OECD, 2022 is expected to end with a slowdown in GDP, which could reach 2.5%, and that it will continue to decline comparatively for next year.

Although there is confidence that the labor market will improve, inflation will represent an obstacle, since it is estimated that by 2023 an annual percentage will fluctuate between 5 and 5.7%.

Although this does not expose a catastrophic future, it does mean that challenging times are coming where the management and administration of SMEs will be put to the test.

4 challenges that SMEs could face

The foregoing leads to the approach of what many businesses can find, especially small and medium-sized companies:

1. Less cash flow

If GDP falls, it is likely that the flow of capital will decrease, which can cause companies to not grow and remain stagnant.

2. Increase in unemployment rates

Similarly, derived from a slowdown in GDP, there are scenarios of lower productivity and little capacity to create new jobs.

3. Low possibilities of development

If there is no capital, there is no way to improve its different products, which generates negative effects to promote innovation.

4. Increase in input prices

Inflation is something that also affects the raw materials that businesses use for their different productive areas, which affects the final sale value of their products and services.

How to anticipate this scenario?

Small and medium-sized companies need to devise strategies to grow over time and maintain their competitiveness efficiently.

The management and administration of SMEs needs proper management and order of their finances, as well as delivering the best possible experience to their customers and maintaining closeness with their collaborators.

In addition, the search for financing is key to having sufficient resources to maintain its operations over time.

The online financing solution

And speaking of financing, it must be immediate, flexible, easy to obtain and easy to pay.

Pymes Capital offers its online loan system, with minimum requirements and a resolution period that can take only 1 day.

If your financing is approved, you can immediately obtain the necessary resources to launch your projects, and pay with a percentage of your future sales, that is, you pay while your business generates income.

Get closer to Pymes Capital and shield your business against the economic outlook that is coming.