When is financial restructuring required?
- Divisions, mergers, acquisitions, buyout, sales of companies or parts thereof.
- The owner changes, debts and assets are restructured.
Reasons for company restructuring:
- Adjusting of production capacities, structure and number of employees
- Adjusting the required capital
- Upgrading sales
- Transfer of wealth
- Tax reasons
What is the pre-bankrupcy settlement?
A procedure whose purpose is to establish the liquidity and solvency of the debtor, or to make the debtor capable of timely fulfilling the due financial obligations and to ensure a more permanent ability to meet all the financial obligations.
- The start-up procedure is simpler and far below the cost of initiating bankruptcy
- The goal is to recover the company and continue its operations
Company restructuring opportunities:
- Restructuring of liabilities to banks and suppliers
- Sale of property that is not part of the core business
- Replacement of claims for equity holdings
- Capitalization by a financial investor
- Capitalization and / or takeover by a strategic investor