AN insolvency expert says calling in the administrators may not signal the end of a business’s life.
New findings by ComRes, on behalf of the R3 group of business recovery firms, shows that 45 per cent of firms which are advised by Insolvency Practitioners managed to avoid full closure.
Of those which have to begin formal insolvency procedures, 27 per cent continued to trade in some form.
This comes against a background of falling corporate insolvency numbers, down 11 per cent from 2009.
Julie Palmer, council member of R3 and partner at Begbies Traynor’s southern operation, which covers Portsmouth, said: ‘It may not feel like it with the succession of high-profile retail collapses earlier this year – but business failure has been on the decrease since 2009.
‘This is good news for businesses struggling through a very slow recovery.’