More and more companies have to file for bankruptcy, according to data from the Chamber of Commerce (KVK). In November, a total of 176 companies went bankrupt, 52 more than a year earlier. In particular, the number of bankruptcies among SMEs has increased significantly.
Compared to October, the number of bankruptcies decreased by around 5%, although the number of bankruptcies among SMEs has been increasing since August. In contrast to the number of failed autonomous businesses, which has remained stable. Although the self-employed rarely fail, says Joris Knopen, a professor at Tilburg University. ‘For example, they have no business premises or inventory and, by definition, are unstaffed. The situation is clearly different in SMEs and therefore the vulnerability is higher.’
Knopen also says the total number of bankruptcies is still “surprisingly low.” The number is rising, but it’s still surprisingly low. The comparison with 2021 is ongoing, but the number of bankruptcies is lower over the entire period than before the corona period.
Full government support
The fact that there was an increase after the corona crisis has to do with an “accumulation” of problems that have arisen since then. “The cost crisis that is now involved means that companies are running out of reserves and falling apart,” says the professor. ‘Businesses are well supported and energy-intensive SMEs are also supported. Every time they keep trying to help companies get through the tough times.’
Source: BNR
Andrew Dwight is an author and economy journalist who writes for 24 News Globe. He has a deep understanding of financial markets and a passion for analyzing economic trends and news. With a talent for breaking down complex economic concepts into easily understandable terms, Andrew has become a respected voice in the field of economics journalism.
