Canada’s Tourism Businesses at Risk of Shutting Due to High Debt
Photo Credit: Niagara Falls. Photo Credit: Armands Lazdiņš on Unpslah Unsplash / Armands Lazdiņš
Skift Take
Even if they get government relief, Canada's tourism businesses need to figure out how to be more competitive internationally if they hope to survive long-term.
Canada’s tourism sector could experience a wave of business shutdowns in the next few years. The main problem: Companies there took on piles of debt during the pandemic, and now they're cash strapped because international travel has been sluggish and operational costs are rising.
The Tourism Industry Association of Canada surveyed 149 financial controllers and accountants of tourism businesses this spring and about 55 percent of businesses said they are "somewhat not confident" or "not confident" they would be able to make debt payments due in the next two years.
Most were small- and m
