ICAP, Athens-based market research firm, presented the results of a study on business risk potential at the 9th Credit Risk Management Conference in Athens. According to the study, one in five companies in Greece will be led to bankruptcy and be unable to meet their obligations in 2017. The data gathered in the second half of 2015, which studied whether businesses were credit worthy, found that 0.29 percent of Greek-based businesses were at low risk, whereas 9.6 percent showed a limited risk potential. In 2009, the figures were comparatively different with 10 percent of companies having low risk and 52.34 percent with limited risk potential.
The same study found that 27.3 percent of businesses in 2015 were judged to be high risk and 62.8 percent held a very high risk rating, compared to the 2009 figures that showed 31.56 (high) and 6.17 percent (very high). The study examined the trend of businesses to roll back their terms and conditions for purchases on credit, an evident trend in 2015, with many businesses insisting on an upfront-only transaction.
In 2016, ICAP reported that cash transactions were 21 percent of the total, the second preferred method of payment. Sixty-nine percent of businesses in Greece are paying off obligations on a delayed basis, beyond credit deadlines, and with the average time of delay around 40 days. Of those businesses, 52 percent average delays in payment up to 60 days.