BUSINESSES are being urged not to use Christmas as an excuse to delay getting to grips with financial problems.

R3, the insolvency and restructuring trade body, issued the warning following an analysis of new data supplied by business intelligence provider Creditsafe.

The figures for the south east showed there were 261 counts of insolvency related activity in November – up by 60 per cent on the total of 164 in October.

Meanwhile, the number of start-up businesses fell from 5,854 in October to 5,537 in November.

Garry Lee, chair of R3’s Southern and Thames Valley region, said: “The latest figures are a red alert for any owner or director who has concerns about their business at the back of their mind.

 “It is tempting for anyone whose business is showing signs of financial distress to bury their head in the sand at any time of year but especially over the festive period when it is easy to delay any action or hard choices until the new year.

“However, such issues will remain stuck in the in-tray and have to be faced in January when they may be even tougher to deal with or impossible to ignore.”

Mr Lee, associate director at professional services group Evelyn Partners’ Southampton office, added: “Procrastination is the worst enemy when it comes to business recovery and restructuring.

“Any director or owner in Dorset or Hampshire spotting signs of financial distress is urged to seek support from a qualified and regulated advisor as early as possible. This means the greatest number of options will be available for the future of the business.”