Latest insolvency figures show signs of recovery
LEADING South Yorkshire insolvency and business turnaround expert Paul Moorhead says that the latest statistics show fewer businesses and people are going bust.
The most recent government insolvency figures show that throughout the country 2,481 companies went into compulsory liquidation in the first quarter of 2015, a drop of 15.9 per cent on the same period last year.
A further 904 companies voluntarily called in a liquidator rather than being wound up by the Courts, falling by 5.6 per cent.
And at the same time, personal insolvencies stood at 20,826, a fall of almost 19 per cent on last year’s figure.
“These statistics show that, overall, the economy is showing signs of improvement,” said Paul, the founder and director of South Yorkshire insolvency practice Moorhead Savage.
“The number of businesses and individuals using a formal insolvency procedure to deal with over-indebtedness are both going down.
“But the numbers are still above the historical average and thousands of people and companies are still struggling with cash flow problems and high levels of debt.
“As always, though, the advice is quite simply to seek expert advice as soon as possible because there is so often a positive outcome to be achieved.
“As these figures demonstrate, fewer companies need to close as there are often ways to breathe new life into struggling businesses. In addition, rescue procedures can be used to minimise the impact of any closure and to mitigate the loss to creditors, employees and business owners.”
For further information or to seek advice visit www.moorheadsavage.co.uk or call 01709 331300.