Corporate collapses due to poor e-commerce strategy

Despite the collapse of two of the high street oldest names on the UK and high profile failures –BHS and Austin Reed – in the space of two days in the past weeks, they brought the process of managing insolvent companies into the spotlight, administrators are dealing with the lowest levels of corporate collapse for seven years. Only 3, 694 companies in England and Wales became insolvent in the first three months of 2016, fewer than in the same period in 2015 and 42 per cent down on the first quarter of 2009 when the financial crisis was taking its toll- according to the Insolvency Service.

Only 301 were put into administration, whereby individual insolvency practices are appointed to keep the ailing business going and seek ways to repay creditors.

KPMG has now slimmed down its insolvency operations and shifted focus from insolvencies to broader advice on restructuring business to avoid financial crisis.

 

RSM Tenon, the Insolvency specialist were forced to appoint Deloitte administrators in 2013.