Recent recorded challenges of large retailers such as Edcon, Stuttafords, House of Busby, Mango and others could be examples. A number of global and seasoned retailers have entered SA in recent years, particularly in the apparel market, including Zara, H&M, Cotton On and other more upmarket clothing retailers. This has put some local firms under severe stress.
While Edcon avoided filing for business rescue by opting for a nonformal restructuring, it is well-documented that it had been experiencing cash-flow problems for a while. On the other hand, Stuttafords held on to the last minute to file for business rescue, and even then it seemed a tad too late to avoid an inevitable wind-up. The hor…
Read the full article at: https://www.businesslive.co.za/bd/opinion/2017-08-23-swiftly-filing-for-business-rescue-is-vital-for-avoiding-actual-failure/