Restructuring is a process of change in a company that may involve one or more spheres of its activity, such as organisational, financial or operational conducted in order to improve its functioning, increase its efficiency and adapt to changing market conditions.

Since 2016, the restructuring process has been structured through the Restructuring Law, which implemented into Polish law four types of restructuring proceedings directed at companies at risk of insolvency or insolvent companies, the aim of which is to avoid the declaration of bankruptcy of the debtor by enabling them to restructure through an arrangement with their creditors, and to carry out corrective measures, while safeguarding the legitimate rights of creditors.

Restructuring can be carried out under:

• proceedings to approve the arrangement,
• accelerated proceedings systemic,
• arrangement proceedings,
• sanitation proceedings.

The choice of procedure depends on on the debt structure in place and the desired extent of its restructuring, the size of the company, as well as the complexity of the necessary remedial action and the time required to implement it. Indeed, some proceedings may involve only financial restructuring, while others may also involve operational changes such as optimising the management structure or reducing staff.

Restructuring of operations under the procedures introduced by the Act makes it possible to extend pre-enforcement protection to the company, secure key contracts, suspend payment of liabilities or support from a qualified restructuring advisor, making the whole process more efficient and secure, both from the point of view of the restructured entrepreneur and the protection of creditor interests.