INSOLVENCIES in the automotive industry have risen by nearly a fifth, reports global information services company Experian.
An 18 per cent hike in automotive business insolvencies during quarter three is the 17th-highest of 36 sectors analysed: 67 businesses failed.
Kirk Fletcher, MD of Experian’s Automotive division, said: ‘Our analysis highlights why it is important for automotive businesses to know that their customers and suppliers have the means to pay their bills.
‘The best way for automotive businesses to protect themselves is by continually monitoring customers’ and suppliers’ commercial integrity. Access to this level of detailed insight will provide them with the intelligence to help them manage their exposure to risk.’
Experian says there are products on the market to help here – such as its own Risk Report. This includes information on a business’s risk score and assigned credit limit, payment information on how quickly a company pays its bills and CCJ information.
Important information, which could make all the difference…