Study Puts Business Bankruptcy Rates Higher

Published on:
12 September 2006 at 10:19 a.m. ET

Written by: Unknown Author –

http://www.insidearm.com/news/00002496-study-puts-business-bankruptcy-rates-high/

By Jim Hopkins, USA TODAY

Business bankruptcy rates are up to nine times higher than government data show, says a study out today asserting that the new bankruptcy law might hinder entrepreneurship because it does not reflect the true impact of small-business failures.

Researchers, including a prominent bankruptcy expert at Harvard, say the study challenges a widely held perception that a 20-year rise in bankruptcies has been driven by spend-thrift consumers.

The study estimates that 19.5% of filings are at least partly business-related, vs. the 2.3% rate given by the Administrative Office of the U.S. Courts, which compiles statistics for the federal judiciary. That higher rate equaled as many as 315,000 business filings in 2003, vs. 37,000 reported by AOC, the study says.

For this complete story, please visit Study Puts Business Bankruptcy Rates Higher.

Study Puts Business Bankruptcy Rates Higher

Unknown Author

Featured Resources

Webinars

RA Compliance Corner: Managing Your Service Providers- Do you really have it all in order?

About