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Gastronomy. BIK report: the industry is in debt of over PLN 1 billion

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Outstanding liabilities of the catering industry exceeded PLN 1 billion in March. Nearly 7 percent of companies have problems with repaying current liabilities, loans and arrears to suppliers. On average, one entity has a debt of PLN 91,550 – according to the BIG InfoMonitor report.

Outstanding liabilities of the catering industry exceeded PLN 1 billion in March. Compared to the same period last year, the arrears of companies serving meals increased by over 28%. Nearly 7 percent companies in the catering industry have problems with repaying current liabilities, loans and arrears to suppliers. On average, a company from the catering industry has as much as PLN 91,550 in debts – according to data presented in the BIG InfoMonitor report.

Gastronomy debt

– Already in 2020, the overdue liabilities of the catering sector towards banks and contractors exceeded PLN 647 million and have been increasing since then. After the pandemic, it is difficult for the industry to recover. Inflation and the financial problems of Poles have had an impact on catering establishments. Entrepreneurs also point to difficulties related to rising employment costs and the uncertainty of the general economic situation – said Sławomir Grzelczak, president of BIG InfoMonitor.

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As the authors of the report noted, in recent years the number of companies actively operating on the catering market, even though it was experiencing difficulties, has increased by at least 3% every year. According to calculations by the analytical company Dun&Bradstreet, in the first quarter of this year. a decline was recorded for the first time since 2011. According to the Central Statistical Office data presented in the report, nearly 83 percent entrepreneurs from the “accommodation and catering” category indicates barriers to running their current business. Most often, these are difficulties related to rising employment costs (79.9% in April this year), high fiscal burdens (50.1%) and uncertainty of the general economic situation (46.7%). The next most frequently mentioned factors were insufficient demand (41.6%) and unclear, inconsistent and unstable regulations (40.8%).

Layoffs and price increases

“To stay on the market, entrepreneurs they plan to reduce employment. Further increase in service prices is also likely. According to representatives of the catering industry, the situation could be improved by introducing a uniform 5%. VAT rates on catering services, as well as support for companies harmed during the pandemic with funds from the KPO” – indicated the authors of the report. As shown by the results of the study “Selected expenses of Poles” conducted in April 2024 on behalf of the BIK Group, close to 2/3 of respondents use restaurants at least once a monthspending on this pleasure average PLN 125 per month. In the 18-24 age group, 81% eat out. This percentage decreases with the age of respondents. In the 65+ group it is 43%. People aged 35-44 spend the most on food in restaurants and bars – PLN 167 per month. Also in this group, the highest percentage of respondents (9%) declared monthly expenses on eating out exceeding PLN 400. BIG InfoMonitor collects and provides information on the payment credibility of market participants. The company maintains a register of debtors. The BIG InfoMonitor database contains approximately 6 million pieces of information about debts. It enables access to the databases of the Credit Information Bureau and the Polish Bank Association, thus providing a platform for information exchange between the banking sector and other sectors of the economy.

Main photo source: shutterstock



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