ALMOST half of small firms do not have a plan to deal with an emergency or crisis, new research shows.

A study of 840 small to medium-sized companies across the UK revealed that almost one in five had been hit by a disaster, with some taking months to recover.

One in 20 of those affected said it took more than a year to get back to the same level of business. Insurance firm AXA said research showed that firms in the Midlands and south west were the best prepared for dealing with a disaster, while those in the south east were the least ready for an incident.

Doug Barnett of AXA said: "Every year thousands of enterprises fold but some of these could be saved if they had a strong business continuity plan in place."