60 Firms a Day Will Go This Year

Article excerpt

Byline: Becky Barrow Business Correspondent

AS many as 60 firms will collapse every day this year due to the crippling impact of the recession and the fragile recovery, research reveals today.

But the silver lining for bosses is that workers are willing to take a pay cut and a more junior position to secure a job because they are so concerned about their bleak employment prospects.

The number of 'business failures' will remain around the current level for the next two years. This means more than 60,000 businesses will disappear between 2010 and 2012, according to accountant and business adviser BDO.

Many businesses blame their failure on the fact that they cannot get the help they need from their bank, such as a loan or an overdraft.

It comes as a separate study reveals jobseekers are resorting to desperate measures.

A survey from the website Gumtree.

com found more than 40 per cent are 'willing to take a pay cut' to secure a job and 39 per cent are 'prepared to take a more junior role' in order to find work.

With help not forthcoming from the banks, bosses say they have to beg for money from friends and family, remortgage their homes, or even pawn their possessions. …