According to Motti Eichler, director of Achim Global foundation which is providing the loans, many ultra-Orthodox freelancers and small-business owners are only at the beginning.


A new fund has been launched which is making some NIS 10 million in loans for small-businesses and freelancers in the ultra-Orthodox sector which are struggling to stay afloat financially due to the economic blows dealt them by the COVID-19 pandemic.
While the entire economy has been badly hit by the COVID-19 pandemic, the situation in the ultra-Orthodox sector has been particularly challenging.According to Motti Eichler, director of Achim Global foundation which is providing the loans, many ultra-Orthodox freelancers and small-business owners are only at the beginning of their business journey, and run young companies or have only recently entered the workforce.


Because their business relationships are therefore much fresher and less well-founded, many customers and service consumers have cut contact with the suppliers they have known for the least amount of time, such as ultra-Orthodox businesses which have not been operational for long.And the ultra-Orthodox city of Bnei Brak was an epicenter of the COVID-19 epidemic in Israel, and was totally shutdown for several weeks, longer than any other locale in the country, further depressing economic activity in the city.Many ultra-Orthodox freelancers have been left bereft of work, while orders for small businesses and service providers in the sector have dried up, leaving many financially imperiled and their businesses at risk of total collapse.Freelancers who have received minimal state assistance during the COVID-19 crisis have been hard hit by the lack of demand, while the overheads for small businesses have continued to pile up while work has shrunk dramatically, says Eichler.He also noted that the special government assistance programs which have been made available for the ultra-Orthodox business sector have all been suspended, leaving them more vulnerable. Read more at JPost