date:Nov 27, 2012
Zombie company is a label that has several definitions but, at its most extreme, refers to businesses that can generate enough cash only to pay off the interest on money owed, but are unable to pay off the debt itself.
According to R3 a trade body that claims to be made up of 97% of the UKs insolvency professionals there are now 160,000 zombie companies in the UK that are able only to keep up with their interest payments. That compares with 146,000 in June.
While it is good for companies in