Recent Statistics published by Finweek 21st May 2014

What kind of companies generally end up in a Business Rescue Operation? At the top of the list are Private Companies (Pty), followed by Closed Corporations (CC). Since 1 January, 2013, almost 70% of all the business rescue operations in South Africa take place in Gauteng. 82% of those companies go into one as a result of a resolution taken by the board to try and save the company rather than file for liquidation.

The statistics reveal that the majority of companies have been trading less than 10 years.

Business Rescue figures 2011 and 2013:

2011

• 5% – Set aside Business Rescue proceedings
• 20% – Substantial implementation of a Business Rescue plan
• 30% – Liquidation
• 45% – Conclusion of Business Rescue proceedings

2013

• 9% – Liquidation
• 41% – Substantial implementation of a Business Rescue plan
• 50 % – Conclusion of Business Rescue proceedings

From statistics at hand on 18 February, 2014, the rescue operations that began in 2013 ended as follows: