Bankruptcy in Belgium: how to tell if a client is bankrupt

A client who no longer pays, a supplier who no longer answers: before chasing them, you need to know whether the company is bankrupt. In Belgium the information is public, but it sits in several places and does not reach them all at the same time. Here is where to look, how to read what you find, and what to do next.

Who declares a bankruptcy in Belgium?

Bankruptcy is declared by a judgment of the enterprise court, on the director's own filing, at the request of a creditor or of the public prosecutor. The judgment appoints a trustee (curator), who manages the bankruptcy, and sets the deadline within which creditors must file their claims.

From then on, the information spreads through three official channels, each with its own role:

• The Belgian Official Gazette publishes the judgment.
• The Central Solvency Register (RegSol) holds the bankruptcy file: that is where creditors file their claims.
• The Crossroads Bank for Enterprises (BCE) records the new legal situation on the company's record.

Check the company's BCE record

The simplest reflex is to open the company's record in the BCE, from its enterprise number or its name. Two pieces of information matter:

The status

It shows whether the company is active or closed. A bankrupt company can remain "active" in the register for the whole procedure: the status alone is therefore not enough.

The legal situation

This is what tells you whether a bankruptcy has been opened, whether it has been closed, or whether the company is going through another procedure, such as a judicial reorganisation. Do not confuse the two: a judicial reorganisation aims to save the company, while bankruptcy organises the end of its activity.

The list of bankruptcies published by the BCE

Rather than checking your clients one by one, you can browse the list of bankruptcies that Company Belgium keeps up to date from the BCE open data. It lists bankruptcy openings, with a page per region and per period.

Mind the date

The date shown on this list is the day the BCE published the change in its open data. It is not the date of the judgment. The BCE open data does not date the legal situation: the only reliable date is that of the file bringing the change. The judgment was therefore handed down earlier, sometimes a few days before. For the exact date, refer to the Belgian Official Gazette or to the RegSol file.

What the list shows, and what it does not

• Companies are named, with a link to their record.
• Bankrupt self-employed people are counted but not named: they are natural persons.
• Only bankruptcy openings are listed, not closures or other procedures.

Be warned rather than check

Checking a record answers a one-off question. For your important clients and suppliers, it is better to be warned. With a paid plan, Company Belgium lets you follow a company and alerts you when it goes bankrupt. Before granting significant credit, a credit report gives a snapshot of its financial strength based on the filed accounts.

Your client is bankrupt: what now?

Once the bankruptcy is confirmed, time matters. The usual steps are:

• File your claim in the bankruptcy file, through RegSol, within the deadline set by the judgment. Without a claim, you will not take part in the distribution.
• Contact the trustee with any question about your invoices, your goods or your ongoing contracts.
• Stop supplying on credit and take stock of what you are still owed.
• Tell your accountant: a doubtful debt has its own accounting and tax treatment.

For legal questions about your own situation, turn to your lawyer or your accountant.

Spot the signals before the bankruptcy

A bankruptcy rarely comes without warning. In public data, several signs deserve attention: annual accounts filed late or not at all, repeated changes of directors or address, a capital reduction, or a judicial reorganisation. Taken alone, each may have an ordinary explanation. Together, they justify asking for payment with the order or reducing the outstanding amount.

For an overview of the market, Company Belgium also publishes closed companies and new companies, from the same BCE data.

In short

To find out whether a client is bankrupt, open its BCE record and read its legal situation, then confirm through the Belgian Official Gazette or RegSol. The bankruptcy list gives you an overview, bearing in mind that its date is the BCE publication date, not the date of the judgment.

Frequently asked questions

How do I know if a Belgian company is bankrupt?

Check its record in the BCE: the legal situation shows a bankruptcy. The judgment is published in the Belgian Official Gazette, and the bankruptcy file is kept in the Central Solvency Register (RegSol). Company Belgium also publishes the list of bankruptcies published by the BCE.

Is the date shown the date of the judgment?

No. On the Company Belgium bankruptcy list, the date is the day the BCE published the change in its open data. The judgment was handed down earlier: its exact date appears in the Belgian Official Gazette and in the RegSol file.

What should I do if my client is bankrupt?

File your claim in the bankruptcy file, through RegSol, within the deadline set by the judgment, and send your questions to the appointed trustee. Stop supplying on credit until the situation is clear.