Six out of ten Belgian entrepreneurs are worried about their cash flow
Wednesday, 16 June 2021
Six out of ten Belgian business owners are worried about their cash flow and about half are barely surviving the impact of the Covid-19 pandemic, according to the latest study by debt collection specialist Intrum published on Wednesday.
Their European Payment Report 202 survey of 11,187 companies between January and April 2021 – including 503 businesses in Belgium – found that the hardest-hit sectors in the country are banking and insurance, retail, hospitality, manufacturing and chemicals.
Half of the Belgian companies (49%) surveyed think the impact of the coronavirus crisis will be felt for at least another year.
One in eight Belgian companies (13%) said they fear a recovery period of two years or more.
Still, nearly one in two Belgian companies (46%) is more enthusiastic about its growth and future now than it has been for many years, the report said.
“The pandemic has prompted companies to engage in self-reflection and try out new ways of working,” said Christophe De Boeck, spokesperson for Intrum.
“This could just as easily be the introduction of teleworking, digital transformation or a greater focus on cash flow protection.”
Small and medium sized enterprises say that over the past year, they’ve accelerated the digitalisation of their business (38% of those surveyed), requested payment deferrals on business loans (29%) and asked for longer payment terms from suppliers (28%).
Larger companies were more likely to cancel strategic investments (25% of those surveyed), lay off staff (18%) significantly more often, and sell assets to free up cash (11%).