Insolvians in Burgenland rise dramatically: 50 percent more cases!

Insolvians in Burgenland rise dramatically: 50 percent more cases!

Burgenland, Österreich - In Burgenland, the economic problems seem to increase, because the bankruptcies this year are increasing dramatically. According to a report of the Kreditschutzverband from 1870 , the number of corporate bankruptcies has increased by more than 50 percent. In these worrying numbers, one-man company is particularly affected, especially in the nursing sector. Out of a total of 320 bankruptcies, the procedures could not even be opened in 160 cases, which indicates serious problems in corporate management.

causes and outlook

The head of the bankruptcy department, Karl-Heinz Götze, explains that management errors and inadequate controlling often lead to these bankruptcies. The most common reasons include liquidity bottlenecks, poor cost planning and excessive expectations of demand. The economic situation is so tense that Götze predicts that the number of bankruptcies could even increase in the coming year. The Alpenländische Varrierverband also reports on current bankruptcies and procedures in Austria, which further underlines the worrying situation. The economic environment is therefore one of the greatest challenges for many companies.

Götze points out that either bankruptcy proceedings or renovation are usually sought for opened insolvencies. In the latter, the company could be continued in its previous form. However, it turns out that smaller companies in particular are faced with high debts that are initially secured by loans, but then quickly get out of hand when the sales figures fail to fail or that are unexpected.