Report: More troubled firms availing of examinership

Companies in financial trouble are increasingly availing of examinership to restructure their debts and keep them afloat, according to figures published by accounting firm Kavanagh Fennell.

The insolvency figures for the first half of 2013 show a 20% drop year on year in corporate insolvencies, with figures for June 2013 down 33% compared to this time last year.

Ken Fennell explains the options open to companies in trouble, saying: "It depends on the form of insolvency the companies go into.

"Receiverships will generally mean the end of a company, the same with liquidations, however if the company enters examination it has a good prospect of survival.

"I think you'll probably see in the second half of this year and the first quarter of next year a significant increase in the number of companies going into examination."