The number of business insolvencies fell by 11% in the North West compared to last year’s figures.
The statistics, from Experian, also showed that the South East saw the largest drop, with 20.7% fewer, while the West Midlands witnessed at 18.2% increase in insolvencies.
Small and medium-sized businesses also faired well, with companies employing between 51 and 100 staff showing the largest decrease, with 35.8% less businesses facing insolvency compared with 12 months ago.
While these figures look positive for our region, it’s fair to say that businesses are still feeling the pinch as the country continues in a double dip recession. Access to finance is difficult, and a culture of late payment among larger firms is creating cash flow problems for smaller suppliers.
I would advise any business facing financial hardship to seek specialist insolvency advice as soon as possible. An experienced insolvency specialist can advise business owners and managers to negotiate difficult times and guide them through the legalities and commercial practicalities, with the key objective being to help the business survive and recover, helping to safeguard livelihoods.
By commercial litigation solicitor and Stephensons' Associate, Nicola Whittle