Japan’s Business Failures in August 2021
(Released by TEIKOKU DATABANK, LTD.)
There were 449 bankruptcies, marking the lowest figure for August ever.
Liabilities totaled 94,621 million yen, the first year-on-year increase in three months.
|Last Year same month
||94,621 million yen
|Last Year same month
||69,417 million yen
Highlight and Outstanding Feature
- ■There were 449 bankruptcies (down 31.5% year-on-year), marking the lowest figure for August since 2000. In addition, the number of bankruptcies by month was the lowest ever for the third consecutive month, and the effect of controlling bankruptcy with cash flow support continued.
- ■Liabilities totaled 94,621 million yen (up 36.3% year-on-year), marking the first year-on-year increase in three months.
- ■The largest amount of liabilities was posted by Euro Tec Japan, Inc. (Wakayama, Civil Rehabilitation Act), with liabilities of approximately 7,200 million yen.
- ■By industry, in all industries bankruptcies fell by double digits year-on-year for the second consecutive month. Among them, the four industries of the construction industry (78 bankruptcies, down 27.1% year-on-year), the manufacturing industry (50 bankruptcies, down 26.5% year-on-year), the wholesale industry (60 bankruptcies, down 31.8% year-on-year), and the real estate industry (11 bankruptcies, down 56.0% year-on-year) marked a record low for August.
- ■In terms of primary cause, the number of recession-induced bankruptcies was down to 352 (down 32.2% year-on-year), the second consecutive decrease in two months. They account for 78.4% (down 0.8 points year-on-year) of all bankruptcies.
- ■By amount of liability, the total number of bankruptcies of companies with liabilities of 1 billion yen or more increased significantly to 24 (up 60.0% year-on-year), with this figure reaching or exceeding 20 for the first time in 13 months, since July 2020.
- ■By region, eight of nine regions experienced year-on-year decreases. Hokkaido (6 bankruptcies, down 45.5% year-on-year) saw the lowest number ever, while the four regions of Kanto (171 bankruptcies, down 27.8% year-on-year), Chubu (57 bankruptcies, down 40.0% year-on-year), Kinki (103 bankruptcies, down 43.7% year-on-year) and Chugoku (20 bankruptcies, down 33.3% year-on-year) recorded the lowest ever for August.
- ■There were 10 bankruptcies caused by a labor shortage (down 47.4% year-on-year), marking the first year-on-year decrease in two months.
- ■There were 29 bankruptcies caused by a difficulty in finding a successor (up 26.1% year-on-year), marking the first year-on-year increase in two months.
- ■There were 37 post-moratorium bankruptcies (down 21.3% year-on-year), marking the three consecutive month of year-on-year decrease.
Bankruptcy Information TOP