Number of business bankruptcies in Nov highest this year – CRIF

A total of 550 companies and self-employed persons were declared bankrupt in the Czech Republic in November, the monthly number of the bankruptcies being the highest this year, according to an analysis released by company CRIF - Czech Credit Bureau.

​A total of 130 companies were declared bankrupt in the Czech Republic in November, 18 more than in October. The number of bankruptcies of the self-employed rose by 34 month-on-month to 420.

The total number of corporate bankruptcies declared in the past 12 months decreased by 15 year-on-year to 1,358.

In contrast, the number of bankruptcies of self-employed persons rose by 1,996 to 4,235 in the past 12 months. From the total number of bankruptcies of the self-employed, 80 percent of the cases resulted into debt relief.

"We expect that the number of corporate bankruptcies will be the same this year as in 2012, or slightly lower. The number of bankruptcies of the self-employed will be a little lower than in 2012. Debt relief will account for the main part of this growth," CRIF said.

The highest number of corporate bankruptcies was declared in the segment of trade, and in the hospitality industry and services in November as well as in the previous 12 months.

In a year-on-year comparison, the number of bankruptcies increased the fastest in agriculture. However, agriculture accounts for only a very small part of the total number of bankruptcies.

The number of corporate bankruptcies in services rose by 4 percent year-on-year.

Bankruptcies of companies and self-employed persons:

Source: CRIF – Czech Credit Bureau

Source: CTK, 3. 12. 2013, Section CTK: cce bns, Author: kou