Sudden default:
when the unthinkable happens

 

No company is too big to fail

 

 

What are sudden defaults and should my company be worried?

Sudden defaults are defaults that are improbable, unpredictable and unimaginable.

They are characterised by their size, value and speed of default and the circumstances for the default. Often, the triggers for these sudden defaults are a combination of events. A metaphor for a sudden default is the "black swan".

Even the most experienced credit manager can be caught off guard, having not foreseen it coming. Yet It is how we respond and interact in such cases, that can make the difference to your business when faced with this situation.
 

Download more information

or fill in the form opposite to arrange a call back if you would like to discuss further.

Arrange a call back to find out more

Your details

 

 

Our approach to protecting your business

Over the last couple of years we have seen an increase in unexpected high profile insolvencies across the world that, due to their size, speed and circumstances, have surprised many. When the circumstances of an extraordinary case requires additional expertise, special attention and tailor made solutions, Atradius is the right partner.

Our Special Risk Management (SRM) unit is a team of international experts in underwriting, legal affairs, claims and recoveries, that come into action to support and help you recover outstanding debts as soon as one of your customers gets in a situation that begins to deteriorate - or worse.

It is how we respond and interact in such cases that makes the difference to your business.

 

The benefits to you

  • We protect you, the supplier, from (further) non-payments
  • We help restructure the debt of your customer, the buyer, in a way that, if possible, trade can continue or, if not possible, by supporting you with the most optimal exit-strategy
  • We save time and achieve cost efficiencies for you in the proceedings and negotiations
  • You can benefit from our cultural, lingual and legal know-how in more than 50 countries
  • Alignment of our services with your business strategy regarding your customers
  • We support you in creating a strong(er) creditor position
  • We maximise your recoveries

Case Study

Dick Smith Holdings Limited (formerly DSE) was, until 2016, an Australia-wide chain of retail stores selling consumer electronics goods and components. The company was founded in Sydney by Dick Smith and his wife and expanded into several close-by countries. The company closed in 2016, within several years of its acquisition by Anchorage Capital Partners.

Read more about this case study

Disclaimer

The statements made herein are provided solely for general informational purposes and should not be relied upon for any purpose. Please refer to the actual policy or the relevant product or services agreement for the governing terms. Nothing herein should be construed to create any right, obligation, advice or responsibility on the part of Atradius, including any obligation to conduct due diligence of buyers or on your behalf. If Atradius does conduct due diligence on any buyer it is for its own underwriting purposes and not for the benefit of the insured or any other person. Additionally, in no event shall Atradius and its related, affiliated and subsidiary companies be liable for any direct, indirect, special, incidental, or consequential damages arising out of the use of the statements made information herein.