Purpose – to examine the Latvian micro-enterprises having indicated the external financing as an important
factor for their development.
Research methodology – the results of the ad hoc survey (WAPI) on companies registered in Latvia in nationally defined sectors are used. Valid responses were received from 2.511 companies, of which 1.879 were micro-enterprises,
the results were processed by using the SPSS programme.
Findings – micro-enterprises that have not received the necessary external financing in previous years were less sustainable in the later period. Of the liquidated micro-enterprises examined, 16% were closed in 2020.
Research limitations – the study highlights the impact of the availability of finance factor on the survival of micro-enterprises.
Practical implications – the findings are useful for business support policy makers to identify preventative measures to
ensure the resilience of micro-enterprises in times of economic turmoil when the spread of the Covid-19 has affected
economy.
Originality/Value – although scientific research on the need for financial support for companies has already been conducted in recent years, our study emphasizes the importance of access to finance for micro-enterprises.