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Fewer businesses hit the skids

Apr 18 2011 15:12 I-Net Bridge

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Johannesburg - The total number of liquidations in March recorded a 14.6% year-on-year (y/y) decrease to 350 from 410, after increasing 21.6% y/y in February, Statistics SA data showed on Monday.

Liquidations recorded for the first quarter of 2011 increased by 12.5% to 1 062 from 944 compared with the first quarter of 2010.

The 12.5% increase was due to a rise in voluntary liquidations of which there were 80 more, and compulsory liquidations, of which there were 38 more.

During this period, company liquidations increased by 15.2%, to 500 from 434, and close corporation liquidations increased by 10.2%, to 562 from 510.

The highest numbers of liquidations during the first quarter of 2011 were related to businesses in the financing, insurance, real estate and business services industry, with 374 cases or 35.2% of liquidations.

The wholesale and retail trade, catering and accommodation industry had 271 cases or 25.5% of liquidations; and the community, social and personal services industry had 210 cases or 19.8% of liquidations.

The total number of insolvencies decreased 30.4% y/y in February, to 208 from 299. 

The total number of insolvencies for the three months ended February decreased by 31.3%, to 622 from 905, compared with the same period in 2010.
businesses  |  liquidations
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