Liquidity risk

Liquidity risk is the risk that Bondora may encounter difficulties in meeting obligations that relate to financial liabilities settled as they fall due through the delivery of cash or other financial assets. Bondora’s liquidity risk is managed by its Chief Financial Officer.

Bondora´s liquidity position is enhanced by the fact that it does not have any significant outstanding debt and has only a small amount of operating leases; its position was bolstered by a EUR 4.5 million equity injection in January 2015. In an effort to mitigate liquidity risk, Bondora manages all of its cash flows through a centralized treasury; cash balances are monitored daily and six-month cash flow forecasts are issued on a monthly basis.

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