Comparison Analysis of Start-Up Company Liquidity Before and After the Covid-19 Pandemic

Abstract

The enormous challenges faced by companies today are various problems and technological advances. One of the problems is pandemic-19. During this pandemic, companies across multiple business fields were affected. Even the Covid-19 pandemic resulted in a very significant decrease in the turnover of small and medium-sized businesses. Likewise, startup companies face several possible risks to their liquidity. The study's goal was to investigate whether there were significant differences in the liquidity of startup companies before and after the Covid-19 pandemic. The parameters used to assess and compare the company's liquidity are by analyzing financial statements using the Current Ratio. Data are processed with the Paired Sample t-tests and Wilcoxon Signed Ranks Test, using SPSS/Predictive Analysis. The results showed that the liquidity of startup companies was different between before and after the Covid-19 Pandemic. In real terms, Pandemic Covid-19 can reduce startup companies' liquidity.