A faster than expected economic recovery from last year’s recession means the number of businesses going under will be less severe than predicted.
Job ads surged in December to pre-pandemic levels and bank loan repayment holidays fell for a fifth straight month in November as businesses and home borrowers resumed making payments, new data on Tuesday showed.
There was more than a 40 per cent fall in the number of companies entering administration last year due to the JobKeeper wage subsidy, small business cash flow injections, bank loan repayment deferrals, rental concessions and a temporary moratorium on insolvent trading laws for directors.
Marcus Ayres, a managing director for restructuring at Duff & Phelps, said there would soon be…
Read the full article at: https://www.afr.com/policy/economy/fears-over-business-failures-ease-20210104-p56rk3