Every third Lithuanian SME would fold when faced with an unexpected misfortune

DELFI / Orestas Gurevičius

A new poll has shown that every third small or medium enterprise (SME) in Lithuania is poorly equipped to handle thefts, fires, storm damage or other unexpected misfortunes. The leaders of these companies admit that, in the event of difficulties like these, they may not be able to continue their operations.

The poll indicated that SMEs have a medium resistance to outside risks. Outside risks are considered events like thefts, vandalism, fires, natural disasters, workers’ mistakes or accidents at work.

It also revealed that every third SME would probably cease to function if it experienced a loss of more then €25,000.

However, the poll also showed than 9 of 10 companies have encountered the aforementioned problems and have experienced losses. The most common problems included broken-down equipment, workers’ mistakes and road accidents.

Insurers say that they pay out more than €15 million a year in compensation to SMEs for similar events.

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