Official figures have revealed that the Eurozone economy is continuing to shrink.
The data, released by Eurostat, covers the 17 Euro currency countries.
In the three months from April to June, the economy shrunk by 0.2 per cent.
It comes on the back of zero per cent growth in the previous quarter, and a 0.3 per cent shrinkage in the final quarter of 2011.
The economy in the other countries making up the EU also saw a contraction of 0.2 per cent.
It reveals the problems that Scottish companies exporting to Europe are facing. With continued problems receiving invoice payment too, many are coming under pressure to meet payroll commitments.
However, there are Scottish factoring companies helping to ease the burden. Through lending on outstanding invoices, many businesses across the country are managing to continue their operations.
Many more are also able to take advantage of market opportunities quicker – a valuable asset in a struggling economy.
Not all of the countries in the Eurozone are struggling as bad as each other though, which shows there is still opportunity out there.
Germany, for example, saw its economy grow. However, France failed to move at all for the second consecutive quarter, while Portugal’s GDP shrank 1.2 per cent, and Italy’s by 0.7 per cent.
While the zero per cent growth in the preceding quarter has staved off official recession in the Eurozone, the outlook is bleak.
It is up to individual companies to ensure they are positioned well both now and in the future, by making bold and innovative financial decisions as policymakers try to turn the tide.