Business Rescue
Is your business experiencing any of the following?
Threatened with legal action?
Do you find yourself resorting to employee retrenchment?
Did you know you can be held personally liable for the company’s debt if you recklessly continue to trade when in an insolvent position?
Do you lack the knowledge and experience needed for high level financial management?
Are you looking to avoid further indebtedness?
Here are three examples of when business rescue comes into effect:
John’s business was experiencing financial difficulty and his pride forced him to continue trading with a false belief of recovery. The situation got increasingly more dire to the point where it was too little too late for business rescue and he had to close the business. In this situation, had John put his pride aside and acted sooner his business would still be running today.
Samantha found herself in a situation where her businesses had a failed project due to insolvent debtors and sent her business into financial difficulty. With this brought high levels of debt, where she eventually faced legal action from creditors. We facilitated a compromise with her creditors to extend millions worth in debt which placed her business back into a solvent position.
In this situation, Samantha had debt exposure of R17 million, and we negotiated for a settlement value of R3 million, which in the end saved Samantha R14 million.
| Debt exposure pre-business rescue | R 17,000,000 |
| Debt repayments / settlements | R 3,000,000 |
| Saving / Compromise | R 14,000,000 |
Ted owns a manufacturing business which experienced a reduction in sales. We analysed and restructured Ted’s business in order for it to run more effectively, thus reducing his overhead and putting him in a situation where his R20 000 loss per month turned into a R25 000 profit per month.
If you can relate to any of the above scenarios, your business needs a rescue plan. We’ve helped other businesses save over 50% on their outstanding debts. Let us help you too.
Submit your contact details below and we’ll get in touch with you.