How do we expect small hotel operators to go on?

06-04- 2020 06:14 PM

This is the third part of 10 examples Bangi MP Ong Kian Ming used to highlight the plight of SMEs.

PETALING JAYA: Small hotel owner and operators are reeling due to almost zero business that they have to endure during the Movement Control Order (MCO).

Using one example to illustrate how operators in this sector are going under, Bangi MP Ong Kian Ming said the six-month reprieve in loan repayments is not a silver bullet.

“The owner and operator of a small hotel on an island resort employs 10 service staff and one hotel manager,” he said in a statement today.

“The MCO basically means no revenue for at least one month. And because no one knows when the MCO will end, this hotel cannot take even local bookings for the foreseeable future.”

The ownership group purchased the hotel with a loan and it is thankful for the six-month temporary reprieve in loan repayments, Ong said.

“But because they are unsure about business prospects moving forward, declaring bankruptcy is becoming a serious consideration rather than borrowing more money to keep the hotel operations afloat. If this is the case, they don’t expect to retain any of their staff,” he added.

Below are the rest of the examples:

Part 1

Ong: How a restaurant owner is losing RM100,000 during MCO

https://www.thesundaily.my/local/ong-how-a-restaurant-owner-is-losing-rm100000-during-mco-YF2214742

Part 2

Ong on why a non-essential items maker would rather lay off staff

https://www.thesundaily.my/local/ong-on-why-a-non-essential-items-maker-would-rather-lay-off-staff-LF2214793

Part 4

Small retailer burns RM10,000 to cover costs during MCO

https://www.thesundaily.my/local/small-retailer-burns-rm10000-to-cover-costs-during-mco-NE2215179

Part 5

MCO roadblocks for long-distance bus operator