The sentiment around starting new small businesses has plummeted, despite the country emerging out of Covid-19 restrictions.
The business community marketplace, SavvySME, says there was optimism at the beginning of the year, but the Delta outbreak shattered that outlook.
SavvySME co-founder Yee Trinh said the uncertainty around variants and border closures was dampening the confidence for potentially new businesses.
"It really comes down to just how unstable the past year has been and the uncertainty that people and businesses are having at the moment.
"Ironically, lifting of lockdowns and restrictions hasn't proven enough to really give people the sense of confidence that things will remain that way. Obviously with omicron coming out that's kind of consolidated what people are hesitant about."
Trinh said the government could help by providing some certainty.
She said the future outlook was not great either.
"It's going to be a tough couple of years ... I don't think we're anywhere near the end of it," Trinh said.
"When it comes to businesses, starting and growing, and running and growing, it comes down to being able to afford plans and there's an element of which we cannot control; how the government is responding, restrictions, border closures, different variants.
"But we can arm ourselves with the right information and right support."