Johannesburg - The number of companies that closed in September was significantly lower than the same month last year, Statistics SA said on Monday.
“The total number of liquidations decreased by 35.6 percent year-on-year in September 2013,” the agency said.
There were 45 fewer compulsory liquidations and 39 fewer voluntary liquidations during the period.
The number of liquidations recorded in the third quarter of 2013 decreased by 12 percent compared with the same time last year.
Liquidation is the winding up of a company or close corporation when its liabilities exceed its assets.
The matter is resolved either voluntarily or by a court order.
Insolvencies - where an individual or partnership is unable to pay debt and is placed under final sequestration - decreased by 4.4 percent year-on-year in August, according to the report.
In the three months that ended in August, a decrease of 3.5 percent was recorded compared to the same time last year.
The number of insolvencies decreased by 16 percent in the first eight months of 2013 compared with the first eight months of 2012, the agency said. - Sapa