Statistics Canada says the impacts of the COVID-19 pandemic on rural businesses and their outlook going forward vary by industry.
About 48 per cent of rural businesses have been able to remain fully operational during the pandemic compared with about 39 per cent of their urban counterparts.
Less than half of rural businesses recorded an annual decline in revenue of 10 per cent or more in 2020 compared with over half of urban businesses.
The most commonly expected challenges for rural businesses over the next three months were the rising cost of inputs, supply chain challenges, fluctuations in consumer demand, and the ability to recruit and retain skilled employees.

In both rural and urban areas, around one-fifth of businesses expected to have layoffs within the next 12 months, while one-half were uncertain as to when they might have to lay off employees.
Teleworking was a possibility for 17.5 per cent of rural businesses, while nearly twice that proportion of urban businesses (35.1 per cent) offered this option. Similarly, 6.3 per cent of rural businesses made 30 per cent or more of their sales online in 2020, just under half the rate of urban businesses (13.2 per cent). In 2019, these shares were 4.2 per cent for rural businesses and 8.9 per cent for urban businesses.
Nearly 70 per cent of rural and urban businesses had no plans to sell, close or transfer ownership within the next 12 months.