Karim Katto runs several restaurants in Stockholm. Like many others, the hamburger restaurant at Fridhemsplan has had a tough time since the pandemic and has been losing money in recent years.
In order to secure payment for the electricity transfer, in mid-January Ellevio sent out a demand for a deposit fee of SEK 103,000.
– We follow our customers and look at various financial parameters. The restaurant industry has had a tough time in recent years and sometimes we end up in this option, says Marcus Wendel, marketing manager at Ellevio, who does not want to comment on the individual case.
Ellevio: A way to reduce risks
Ellevio believes that deposit requirements are a way for them to reduce the financial risks.
– We have a duty to join and cannot refuse customers, which companies in other industries can. Then a solution we are looking at in such contexts is a deposit fee, says Marcus Wendel.
Ellevio only option
If it had been about an electricity supplier, Karim Katto could have changed companies, but since it concerns the electricity network, there is only Ellevio as an alternative in this case.
– If I miss paying, then they could turn off the electricity, but not now that I’ve taken care of myself. I have no unpaid invoices with them or anywhere else. I think Ellevio is stepping on small business owners when they do this, says Karim Katto.
Footnote: A couple of days after we met Karim Katto, another of his restaurants also received a demand for a deposit, this time for SEK 23,000.