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A report of the Bulgarian Academy of Sciences (BAS) showed 33.2 % of small and medium-sized enterprises (SME) in Bulgaria to be on the verge of bankruptcy due to intercompany indebtedness.
Meanwhile, 51% of companies in Bulgaria reported deterioration in financial indicators in 2009 and in 2010, according to a survey presented by Prof. Radka Ilieva at a public lecture on June 26, as cited by econ.bg.
The number of small companies reporting a satisfactory development dropped four-fold from 2009 to 2011.
The main problems outlined by managers of SMEs were the reduction in consumption (68% of the polled) and the increase in intercompany indebtedness (54%).
Ilieva explained that intercompany indebtedness most often hit small companies but it also affected big firms.
She argued that big firms were not eating up small enterprises, just as "bears do not eat rabbits," adding that every sector needed big and small players, alike, Novinite.com reports.
Related News in English
Povezane vesti na srpskom
Συναφείς Ειδήσεις στα Ελληνικά