The first step that the management of an insolvent company must take is to determine why, exactly, the company failed. That may seem obvious, but the second step is not get outside help immediately. There is always the possibility that a business facing financial distress or insolvency — be it owner-managed or a large multinational — can be saved, if action is taken early enough. Recovery also depends upon how well the company, and its outside advisors, manage each and every stage of the revitalisation, and whether or not the recovery plans are realistic and achievable.
If this is your situation
- You are suffering the consequences of poor management.
- You are feeling the effects of unforeseen changes in your markets or shifting consumer preferences.
- You have inadequate debt or equity capitalisation.
- You posses underperforming assets and too large a debt load.
- You have been the victim of fraud or theft of intellectual properties.
- Your management team possesses poor business development skills.
- You are experiencing decline in your customer base because of faulty or sub-standard products.
How PwC can help you
At PwC we have a keen understanding of corporate insolvency issues. Our experienced specialists can guide your company through the entire reorganisation process, working with individual creditors and creditors' committees to maximise financial returns in difficult situations.
