The Better Alternative
Are you staring down the barrel of insolvency and liquidation? Business Rescue may be a better alternative….
A distressed entity that in the ensuing six months is unlikely to be able to pay all its debts as they fall due and payable, or if it appears likely that the Company will become insolvent, is a candidate for business rescue.
Business rescue presents South African companies in financial distress with a second chance; the possibility of continuing to trade, of avoiding job losses and the significant knock-on effect on the South African economy. While not possible in all circumstances, a successful business rescue will always be preferable to a liquidation process – for all stakeholders.
What is Business Rescue?
Business rescue proceedings are formal legislated proceedings, under Chapter 6 of the South African Companies Act 71 of 2008 (“The Companies Act”), that are aimed at restructuring the affairs of a company in such a way that either maximises the likelihood of the company continuing in existence on a solvent basis, or results in a better return for the creditors of the company than would ordinarily result from the liquidation of the company. It provides for the temporary supervision of the company by a business rescue practitioner; a stay on the rights of claimants against the company which arose prior to business rescue or in respect of property in its possession; and the development and implementation, if approved, of a business rescue plan to rescue the company by restructuring its business, property, debt, affairs, other liabilities and equity.
What are some of the benefits?
Meet The Team
Why 2H Consulting?
At North Coast Advisory we believe that every business deserves a chance to be rescued. Our primary motivation in all business rescue proceedings is to turn the business around, and as such we focus as much on the long-term strategic plan as we do the immediate actions required to effect rescue proceedings and avoid liquidation.
Our team is made up of business strategists, accountants, entrepreneurs, restructuring specialists and business rescue practitioners, with a network of additional resources to call on as required. Each engagement is unique and we will tailor an approach and create a plan that is specific to your business and will help it become stable, sustainable and profitable once more.