Thousands of businesses to hit the wall unless insolvency supports extended

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Insolvency firms are preparing for a spike in the number of companies going broke at the end of this month

The government is thinking of pushing back the deadline to allow companies to trade while insolvent beyond September 30, sparking a debate over how long to continue federal support to struggling companies., insisting the rate would have to fall. Labor has argued against a "tapering" in the JobKeeper rate when it had backed the concept in recent weeks.

While some employers that have been protected will recover, CreditorWatch chief executive Patrick Coghlan warned there were about 2500 businesses that were no longer viable being kept afloat by the rules.," Mr Coghlan said. "The typical year has between 8000 and 9000 administrations and we are more than a quarter behind this rate. We're certainly not through this yet," Mr Coghlan said.

Mr Frydenberg said on Wednesday the government was "now considering an extension of those temporary [insolvency] arrangements, recognising that they have supported the economy through a difficult time".

 

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Send the bill straight to the indulgent elite scared women and girly men saved working from home.

Seriously, economics is just a friggen fairy tale. Just pause everything until we have a vaccine.

Seeing this 1st hand, up close and very personal. Small business owners in VIC cruelled by absence of nuance, targeting & sophistication in lazy blanket lockdown measures by Andrews.

Small business doesn’t usually vote Labor . . . the Left has a globalist media driven plan . . . it involves fear and public safety

The federal gov needs to step up here. A national plan for the economy; local and small businesses with discounts on rents, rates and utilities. When money goes to big business, CEOs pocket most of it. 🤷🏾‍♂️

Loaded foreigners are waiting to buy off the businesses cheap.

This is so sad 😞

Well tens of thousands of business fail every year in Australia. A few more is just likely as they are not well run businesses and their time is probably up anyway... a bit like aged care residents. Right?

Thank god. Once these companies close and people loose their jobs. The fat happy population will realise that lockdowns are a VERY BAD IDEA. I hope we see lots more closures. It’ll help boost the numbers of people who want DanielAndrewsMP to GTFO.

Yes and the stupid AGE and SMH are mostly to blame

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