Research
1 of October, 2011Research year: 2011
IEER Monthly Bulletin of Economic Trends

For the twenty seventh time the SME Outlook, a joint research project of the MKIK Institute for Economic and Enterprise Research (IEER), the Observatory (Figyelő) and the Volksbank, examined in July 2011 the Hungarian small and medium enterprise sector, its financial position, prospects, and the factors that influence an individual company's business position. In addition to questions related to the current business situation some current topics and issues and the corporate responses to these are analyzed which have an important role to play in this sector’s adaptability, financial standing and development. In the July 2011 survey problems of late payments and debt queues were examined among Hungarian firms.

The July 2011 survey found that one third of the business partners of small and medium-sized enterprises pay after the payment deadline routinely and that these late payments represent 38% of total sales, thus the breadth and depth of late payments in mid-2011 was similar to that of six months ago. The problem of late payments mostly affects construction companies; firms mainly involved in exporting are among the least affected by this problem. The rate of companies taking part in a debt queue rose to 45% in the last six months. The problem of the debt queue most frequently occurs at construction companies: more than 70% of them are afflicted with this.

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