The tables in the following link summarise data essentials captured from Rodgers Reidy's daily Risk Watch publication, which provides a synopsis of the insolvency market for August 2020 including:
- No. of Registered Liquidators in Australia as at August 2020
- Winding Up applications filed with the Court in August 2020
- Formal Appointments in August 2020
Click here to read Risk Watch Essentials
The tables and graphs (found here) show that the Covid stimulus measures introduced have had a drastic effect on the number of insolvency and winding up procedures.
For the July - August 2020 period compared to July - August 2019, the data indicates a significant reduction in the number of reported events .
- Winding up Applications are down by 89%. The ATO did not file any winding up applications in July or August 2020. This is consistent with our understanding that during this period the ATO is more focused on business support measures than recovery procedures;
- Court Liquidations are down 74%;
- Voluntary Administrations are down 62% but after adjusting the figures to record multiple companies in a group as a single appointment (e.g.iProsperity Group Pty Ltd) Voluntary Administrations are down 66%;
- Voluntary Liquidations are down