Ten big businesses hanging on the wall!

It is predicted by an insolvency expert that there are more than 10 national or regional retail chains that are at risk of going bust next month. The warning comes from Nick Hood, a partner at Begbies Traynor. "Not a lot of them are profitable because of the discounting at a time when they would normally generate all their profits for the year," he said.

Who they are we are not told, of course. That would be reckless in the extreme. However, the problem here is not that these businesses are necessarily unpopular with their customers, rather that the banks are not willing to support them as they did.

It seems that the businesses will drop off the wall one by one. Who is singing the song? It seems those that started this mess are the ones who have a certain amount to gain from the demise of those going to the wall and falling off it!

Posted in: banks,credit crunch,retail