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Friday, 11 October 2013

SFA Welcomes announcement to fast track legislation to assist small firms

“This legislation will give small firms a real opportunity to survive current difficulties and focus on a route of growth and sustainability needed to create jobs.” Avine McNally, Acting Director, Small Firms Association

The Small Firms Association has welcomed the announcement that legislation to allow businesses to apply to the Circuit Court for examinership is to be fast-tracking. Avine McNally, SFA Acting Director, said “this plan recognises that viable small firms are being held back by legacy debt problems. Today’s announcement will make it cheaper and easier for viable businesses to restructure their debts. – unfortunately it will be too late for some.”

McNally added that due to the expense of the initial application to the High Court when entering the current examinership process, “it is estimated that only 1% of SME’s are opting for examinership to try and trade out of their difficulties, with the remaining 99% going into liquidation or receivership.

“Ireland's small business sector is deeply embedded in the Irish economy; and this legislation will give small firms a real opportunity to survive current difficulties and focus on a route of growth and sustainability needed to create jobs,” said McNally.

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For further comment, please contact: Avine McNally, Acting Director, Small Firms Association Tel 01 087 645 02 05.

Note: The Small Firms Association (SFA) is the national organisation exclusively representing the needs of small enterprises (i.e. those employing less than 50 employees) in Ireland. The organisation works with government and policy makers nationally and internationally, to ensure that the economic environment is conducive to small business establishment and development.
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