November 9, 2024
The Allumen community has taken up the challenge of writing the Allumen recipe book; simple recipes for smart business. We open the book with five simple yet effective ingredients for successful credit risk management.
Why this topic? Covid and the consequences of addressing it Covid epidemics affect the operations of most businesses, but the effects are felt very differently from business to business. The most affected activities (e.g. tourism, transport, etc.) suffered an average 27% drop in EBITDE and an increase in median debt to EBITDO to a multiple of 5.4, according to S&P analyses (S&P Global Credit Ooutlook 2021). While the average is a very ungrateful measure, it is possible to suspect that in the future there will be more late payments, more defaults and more insolvency proceedings. The fact that this is not already being felt to a greater extent is due to state aid programmes. But these cannot last indefinitely…
As we are aware that we have a maximum of two or three minutes of your attention, we will briefly present and discuss each of these components separately with you at……. in the coming days. For now, questions for debate: Do you find the topic topical? What is your experience with non-payment in the last year? Comments and opinions welcome!
