SME examinership costs to fall 30%

SMEs should be able to apply to the Circuit Court for examinership — thus reducing such costs by around 30% — by the end of the year.

Jobs and Enterprise Minister Richard Bruton yesterday announced the fast-tracking of long-awaited legislation allowing firms looking for court protection, via the examinership process, to apply through the Circuit Court rather than the High Court, which on average costs 30% more, depending on the complexity of the case.

About 960 SME jobs were saved through small firms going into examinership last year. The new legislation — provision for which was included in the Companies Bill last December — is aimed at offering a route out of difficulties for firms who, despite having high growth and job creation potential, are constrained by legacy debt problems.