One of Australia’s top commercial credit reporting bureaus warns that the country’s food and beverage sector is set to see more businesses fail in the new financial year as households tighten their budgets and operating expenses stay high amid mounting cost of living pressures.
CreditorWatch’s latest business risk index points to grim business conditions, with leading indicators including external administration, B2B payment defaults, court actions, and credit inquiries all trending sharply upward.
Among the others, defaults on trade payments between businesses have surged by 31 percent in the year to May, led by the Food and Beverage sector, which the agency predicates face the highest risk of failure over the next 12 months….