At the moment, Heather Fielding, who is the managing director of Gallagher Travel in the city, says she is not even taking some bookings as it is impossible to guarantee that the holiday will go ahead.
There has been a rash of new Coronavirus outbreaks across Europe which has prompted warnings against complacency, as officials in Spain, France, Germany and other countries fear a major resurgence of infections.
European countries are scrambling to curb Coronavirus outbreaks that have sprung up since lockdown restrictions that damaged their economies were lifted.
Ms Fielding added that the situation is even further complicated in border town areas due to the issues of residency.
“If you live in Buncrana and you come in to book a holiday here there are certain places you can travel to, but if you live in Derry you may be unable to go there because of the differing travel restrictions,” Ms Fielding said.
“The advice is changing all the time, so we are trying our best to keep up with it,” Ms Fielding told BBC Radio Foyle.
“Not just our governments are changing the rules, but countries that you are going to are changing the rules quite quickly as well.”