There is widespread concern across all sectors in Bulgaria about the trend of Days-Sales-Outstanding (DSO) indicating a decline in debt collection efficiency.
Key takeaways from the report for Bulgaria
The 2024 Payment Practices Barometer survey for Bulgaria was conducted between the end of Q1 and the beginning of Q2 2024. The findings should therefore be viewed with this in mind.
Payment terms relaxed despite rise in customer credit risk
- An average 42% of B2B sales are currently being made on credit by companies in our survey of Bulgaria, which shows no significant change from the previous year. The chemicals sector is most inclined, with 48% of B2B sales being transacted on credit.
- To support their commercial policy on credit Bulgarian businesses are offering more relaxed payment terms to B2B customers. 41% of companies are extending longer terms and a similar percentage show no change. Terms average 49 days from invoicing.
Cybersecurity risks and low profits top wide range of worries
- Cybersecurity risks are the main concern for Bulgarian companies in our survey, both in the short-term and long- term. They express worry about data integrity and confidentiality and disruption from cyberattacks. The lack of a skilled workforce is also a widespread anxiety.
- Another major worry surrounds the issue of regulatory compliance and the impact of changes in government policies. This is particularly felt in the Bulgarian chemicals sector. The agri-food industry expresses a specific apprehension about intense competition.
The Atradius Payment Practices Barometer is an annual survey of business-to-business (B2B) payment practices in markets across the world. Its findings can give valuable insights into the current dynamics of corporate payment behaviour in B2B trade. It can also help companies doing business, or planning to do so, in the markets polled to identify emerging future trends in the payment practices of B2B customers.
Interested in finding out more?
For a complete overview of the 2024 survey results for Bulgaria and Central and Eastern Europe, please download the full reports available in the related documents section below.
All content on this page is subject to our Disclaimer, available here
