A wave of company bankruptcies is coming
The financial situation of companies over the next year may deteriorate significantly. The result will be an increase in the number of bankruptcies.
Managers in charge of risk assessment and financial policy of companies are not optimistic about the future of the businesses they are responsible for. This is according to a survey by Allianz Trade and the Polish Institute of Credit Management (PICM). This is about the conditions for managing companies’ receivables in Poland. They expect a significant deterioration of the financial situation and an increase in payment congestion over the coming year. This, in turn, could result in a wave of company bankruptcies.
The survey also shows that the economy is currently mainly affected by a few factors. One is the crisis caused by rising inflation, and next are energy and broken supply chains. The conflict in Ukraine has little impact on most companies.
According to Slawomir Bak, vice president of risk assessment at Allianz Trade in Poland, companies are being hit not only by rising costs, but also by uncertainty and the speed of change. Because of this, it is difficult to accurately assess the condition of a counterparty. However, the number of insolvencies has already increased significantly. It is likely that business is over the worst.
