The coronavirus pandemic wasn't kind to businesses, but prospects are looking up for small and medium-sized companies (SMEs) as the number going bankrupt is dropping.
In 2021, 6,532 SMEs went bankrupt, a drop of 9.2% compared to 2020 and the lowest number in the past 10 years, according to figures from the Minister of Independents and SMEs, Clarin Clarinval.
"These are good figures, 2021 was good overall... The support measures taken by the different levels of power have a positive influence," said Clarinval. "I will remain attentive to the situation of SMEs in the coming months and continue to monitor it very closely."
The drop can be explained by measures taken during the pandemic, in which there was a moratorium on bankruptcies, tax and social security debts.
Hard-hit sectors
The bankruptcies caused the loss of 17,379 jobs in Belgium. The construction sector was most affected with 1,411 bankruptcies and 3,368 job losses – a fifth of the total of bankruptcies (21.6%) and job losses (19.4%).
Next was the trade sector – the second-largest sector of SME activity in Belgium. It recorded 1,398 bankruptcies and 3,379 job losses.
The catering and hotel sector was the third most affected, with 1,047 bankruptcies and 2,910 job losses.
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Perhaps because many came out of the pandemic relatively unscathed, nearly one in three SME employees (31%) have a positive outlook for the economic future.
Despite fears of a recession, the confidence of SMEs remains intact although many businesses are struggling to recruit staff, according to a biannual barometer employment companies Acerta, ETIO and VKW, which surveyed 500 SMEs.
The main issue for SMEs is a talent shortage, as 82% of SME employers claim that it is difficult to find qualified staff.
