Greece – 36.7% of SMEs face the fear of being shut down

A percentage of 36.7% of small and medium-sized enterprises (SMEs) are facing the fear of filing for bankruptcy, according to a survey by the Center for Small and Medium-Sized Enterprises in Greece.

In particular, according to this survey, the percentage of enterprises that express the fear of a possible cessation of their activity in the next period remains very high (36.7%).

The percentages of enterprises that have restricted and/or no liquidity remain high, as well. Specifically, 4 out of 10 small and very small enterprises (42.4%) have cash available for a maximum of one month. In fact, 1 out of 5 enterprises (21.4%) has no liquidity at all.

Price Increase

The significant rise in prices that reduces the incomes of households and businesses, undermining the prospects for recovery of the Greek economy.  As for the prices of goods/services, it is the first time in a semi-annual climate survey of the Center for Small and Medium-Sized Enterprises that such a high percentage of enterprises is recorded and they all stated that they increased their prices (23.6%). In addition, the percentage of enterprises that state that they will increase their prices in the next period is also the highest recorded in a six-month economic climate survey of the Center for Small and Medium-Sized Enterprises in Greece (22.2%).

In addition, small and very small enterprises will face challenges in the medium term for which they are not prepared. It is widely accepted that the pandemic crisis is acting as a "digital accelerator", while the so-called green business transition looks set to accelerate.

Risks

In addition, small and very small enterprises will face challenges in the medium term for which they are not prepared. It is widely accepted...