Pre-insolvency advisers are professionals who help business owners to conduct a root cause analysis to understand why their business is failing and then help them to develop a turnaround strategy (i.e. what to do next) or if this is not possible, plan an orderly winding up.
How do we determine if a construction company is insolvent? Insolvency, as defined under Section 95A of the Corporations Act 2001 (Cth), occurs when a business or an individual is unable to meet their debts as they become due and payable.
Under the Corporations Act 2001 (Cth) there are 4 grounds that can be relied upon in an application to set-aside a statutory demand.
In this article we look at perhaps the most powerful weapon in the creditor’s arsenal: the statutory demand for payment of debt.
Receiving a Director Penalty Notice (DPN) will be a confronting experience for any company director.
The case of ASIC v Plymin is significant for lawyers because it sets out a list of indicators that can help us understand when a company will be found to be insolvent. The general rule in law is that company insolvency is proven by a cash-flow test not a balance sheet test.
When a business hits rocky times the directors of SMEs need to develop a clear business strategy. What is your end game? Business continuity or business exit?