Red alert for the SME sector
The dramatically rising energy costs have effects that threaten the existence of manufacturing companies. These effects have not yet been included in the actual figures so far – such as the last annual financial statement or the last BWA. With the expiry of previous agreements, there is a threat of an X-fold increase in electricity and gas bills. We can understand all too well the rightly ever louder calls for support for the manufacturing industry in the SME sector.
Whether and in what period of time politicians will succeed in supporting small and medium-sized businesses from public funds to survive these price increases that threaten their existence is something we cannot assess. There is a well-founded concern that the number of insolvencies will increase, even among companies that have been in a good position up to now.
Therefore – despite all the operational challenges – managing directors and shareholders of the affected companies must not put their personal liability risks on the back burner. Especially now, it is indispensable to ensure solvency at all times and to pay attention to securing financing for the coming months. It is important to document the calculations and the assumptions and scenarios behind them – and to develop existing financing and action scenarios in good time.
This requirement applies irrespective of whether politicians will once again pass relief on the obligation to file for insolvency. We support our clients in preparing and documenting the necessary business plans and calculations.
Please feel free to contact us directly.