Survey: 80% of businesses have encountered problems related to unpaid invoices

A survey of Estonian exporting companies conducted by AS KredEx Krediidikindlustus has shown that 25% of businesses believe that risks related to unpaid invoices will increase this year.

The survey revealed that 67% of the respondents believe that risks related to unpaid invoices will remain at the same levels as this year, 25% believe that risks will increase and 8% believe that risks will instead decrease.

In the past six months, 80% of respondents have encountered problems related to unpaid invoices. Problems related to unpaid invoices have been encountered by 30% of respondents in respect of both Estonian and foreign customers, by 25% in respect of Estonian customers only and by 25% in respect of foreign customers only.

“Last year, we indemnified half a million euros in insurance losses resulting from unpaid invoices. The problem is particularly acute for exporting companies, since the recovery of losses often becomes very costly for them. One way to manage risks is credit insurance, which will cover any losses that may result from outstanding invoices,” said Meelis Tambla, Chairman of the Management Board at KredEx Credit Insurance.

KredEx Krediidikindlustus conducted the survey of exporting companies in the second quarter of 2015.