With the latest figures from the Insolvency Service showing a significant rise in business insolvencies for the first quarter of 2012, there will be a knock on effect for the creditors of affected companies.
The number of compulsory liquidations and creditors’ voluntary liquidations grew by 4.3 percent year-on-year to 4,303, which was also a 0.2 percent increase on the previous quarter.
Meanwhile, the number of other corporate insolvencies – including receiverships, administrations and company voluntary arrangements – dropped by 1.8 percent compared to the first quarter of 2011.
Furthermore, the latest Red Flag Alert Report from Begbies Traynor highlighted significant problems in the construction industry in the first quarter of 2012, as well as high levels of distress in the retail sector, with the likelihood of further insolvencies.
As a result, creditors need to ensure they take professional advice to determine the most suitable procedure for recovering the money they are owed and this is where the team at Palmers Solicitors can help.
We can advise on all aspects of commercial debt litigation, including court summonses, statutory demands and petitions for the winding up of companies.