A well-developed plan is the basis of every restructuring procedure. Without it, getting the debtor out of financial trouble and returning to their previous market activity is not possible. - It is a signpost to get out of the crisis and restore the ability to operate effectively. It is the basis for accepting arrangement proposals and their implementation. It is the backbone without which in most proceedings it is impossible to submit an application to the court to open restructuring proceedings,...

A company in crisis, facing bankruptcy, resembles a seriously ill person, and a restructuring plan assuming an arrangement with creditors is a healing treatment. A company that has problems with financial liquidity and notices impending problems should react without delay. Growing problems will not solve themselves. - It is important to notice the symptoms of a crisis and realize that the company needs help. This is the key to success. Working on the architecture of the necessary restructuring process...

Finding financial resources is very important when it comes to healing SME companies. Their absence may lead to the termination of restructuring proceedings or the repeal of the arrangement, which ends in bankruptcy. A company decides to restructure most often when its liquidity is impaired and it is unable to repay current liabilities. Therefore, it does not have its own funds that could support its recovery. This, in turn, requires ensuring an appropriate level of financing, obtained from sources...

The problem of companies in crisis, in judicial restructuring, on the verge of insolvency or already insolvent is the lack of funds to repair the situation. However, experienced restructuring advisors can not only prescribe healing solutions, but also find financing. An advisor conducting company restructuring aims first and foremost to solve its main problems. Whether the company will survive the crisis and get back on track depends on this. The measures they reach for are fundamental and drastic,...

Companies in deep crisis increasingly seek salvation from bankruptcy in remedial proceedings, which can be applied when no other restructuring actions are possible. Remedial proceedings can be conducted both against a debtor who is already insolvent and one who is threatened with insolvency. - It allows for taking remedial actions to counteract bankruptcy, but also for implementing corrective actions that restore the efficiency of the company's operations, through...

Restructuring through an arrangement with creditors is gaining more and more supporters. It allows a company not only to get back on its feet, but also to continue its operations successfully. In the first three quarters of this year, a total of 325 restructuring proceedings were announced. This is 3.5 percent more than a year ago, and more than twice as many as in the first year of the new regulations - according to Coface data. As a result, restructurings already constitute 44 percent of all announced...

Opening restructuring proceedings and corrective actions at the right time release the board from personal liability for liabilities incurred during the company's crisis operations. In the event of the company's insolvency and the board's failure to fulfill the statutory obligations to file a bankruptcy petition, board members are liable for its liabilities. The law regulates the liability of company boards towards their creditors in this way. The salvation for companies from bankruptcy is...

The law gives entrepreneurs the opportunity to choose from various restructuring paths. When choosing, it is best to be guided by the phase of crisis in which the company is. Success in business has a sleep-inducing effect - companies expand their internal structures and lose the ability to react quickly to market changes. The loss of key contractors or an unexpected reversal of economic conditions mean that the company is unable to effectively respond to the challenges it faces. This type of inertia can, in the long run,...

Remedial actions in companies are usually taken too late, when restructuring is already becoming an urgent need – says Małgorzata Anisimowicz, President of PMR Restrukturyzacje. When do companies report their willingness to open restructuring proceedings? Isn't it too late? Although the premise of remedial restructuring appears already at the stage of symptoms flowing from the environment and the indicator analysis of the risk of insolvency threat, in practice remedial actions are taken late, and restructuring...

The solutions for companies in trouble introduced at the beginning of 2016 are gaining popularity, but still most interested parties apply for help too late. There is no point in waiting However, experts point out that still too many entrepreneurs decide too late to start the process of getting the company out of trouble. They do so when there are already problems with insolvency, which oblige them to file for bankruptcy rather than to conduct restructuring proceedings. This is the result of the still low...