What happens to small companies (<10 employees) in a market crisis?

>>1963424
During a market crisis, banks decrease how much they lend out. This affects all businesses as loans are needed for investment, paying employees, and meeting short term obligations.

>>1963424
I know someone (accidently read his emails) who runs a small business (literally a couple of shops on a local high street) yet he is in debt 800k to a bank. I am not sure if the guy is retarded or should be admired because for whatever reasob bank has taken all his shit yet.

>>1963641
Is his company in debt or is he personally in debt

It's more stable IMO if you're business is actually generating money from sales, not hype. Volatility isn't as big of an issue for companies that have all their ducks in a row, but just have no need to scale. Obviously sales will shrink in the interim, but there is less of a ripple.

>>1963641
The loans are probably secured with his stores as collateral, and he probably has enough cashflows to meet repayments and interest.

>>1963652
I think its the company, the name was mentioned several times