Business Rescue Solutions provides both Turnaround and Restructuring services for businesses in financial distress.
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When your business is facing mounting debts and you’re struggling to pay creditors, it’s time to seek urgent professional assistance, not only to contain the problem, but to discover if your business has viability in the future.
Not being able to meet financial obligations is distressing to business owners and directors, and to staff whose employment may be jeopardised. Finding expert help is essential. Business Rescue Solutions offers a range of services to both small and large businesses, to assist with business rescue and ideally get you back on track for success.
For eligible companies with liabilities of less than $1million, a Small Business Restructure (SBR) might be the solution. This is where you can renegotiate historical business debts with your creditors, when the debts are impacting trading. In essence, SBR provides the company with some ‘breathing space’ to develop a plan that will provide for the continuation of its business and the best return for creditors given its financial circumstances.
If your company is facing insolvency, or is already insolvent, but does not meet the eligibility criterias for an SBR, you may consider entering into a Voluntary Administration (VA). This is where you appoint an external voluntary administrator to assess your business’s financial situation and explore solutions like restructuring or a Deed of Company Arrangement. The overall aim of a voluntary administration is to seek a better outcome for your business and its creditors compared to an immediate liquidation.
If you have an eligible small business in financial distress and you need debt relief, Small Business Restructuring (SBR) offers an option for you to renegotiate your historical business debts with creditors, when those debts are restricting your ability to effectively trade.
As part of the SBR, a compromise is made between the creditors and your company, which involves you agreeing to pay back your debt to the creditor, in part or in full, over a defined period. If you and the creditor agree that you only need to pay your debt in part, the remaining debt is written off.
Separate to the SBR, your company may decide upon a number of other adjustments to your business to improve how it operates. Alterations include company restructuring, the sale of assets, and other cost reductions.
Business rescue through SBR applies to companies with total liabilities of $1 million or less and meet other eligibility criterias
Find out more about Small Business Restructuring through Business Rescue Solutions
Learn MoreWhen a company becomes insolvent (it can’t meet its financial obligations), it must take serious measures to ensure it is operating within the law, and to sort out whether or not it’s possible to continue trading.
The directors of an insolvent company must appoint an external administrator to assist the business through the voluntary administration process. The voluntary administrator assesses the company’s financial condition, reports their findings to the company’s creditors, and makes recommendations as to whether or not the company should:
Subject to a voluntary administrator’s assessment, if the business is viable to continue trading, the administrator may choose to do so. However, if it is determined that continuing to trade is not commercially viable, the administrator has the power to terminate or dispose of all or part of the business.
Learn MoreBusiness Rescue Solutions have registered liquidators, who are also able to operate in the role of voluntary administrators. This way, if liquidation is required, they can perform both roles.
Find out more about Voluntary Administration through Business Rescue Solutions
After completing an assessment of your business, our specialists may suggest an alternative path to Voluntary administration. These alternatives provide different levels of control and flexibility, and are tailored to the unique circumstances of your business. They aim to offer solutions that can be less complex and more cost-effective than VA. These alternatives include:
Take our 30 second test to quickly identify the most likely path forward for your struggling business. Alternatively, give us a call to discuss your unique situation.