Minister of Justice Hanno Pevkur met representatives of EVEA, Estonian Association of SMEs, to discuss ways of simplifying communication between entrepreneurs and state.
Pevkur to small business: swift bankruptcy procedure good for you
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A subject raised by EVEA was delayed payments. Last week, the government approved a bill improving the situation; however, discussions of further options are yet to commence.
«Mutual arrears and malevolent avoidance of payments have become the prevalent problem for business, requiring legal actions and so-called softer measures improving business culture. Let me remind everybody that delayed payment causes difficulties for the issuer of the invoice, and, in longer perspective, also to the delaying party,» said EVEA’s president Marina Kaas.
Also relating to payments culture, the troubles with problematic entrepreneurs were discussed, where, bankruptcy proceedings being delayed, a situation develops where creditors can no longer be satisfied.
According to Mr Pevkur, the Ministry of Justice will tackle the problem within this year, reviewing all of the legislation of bankruptcy and reorganisation proceedings, making the processes more effective and swifter.