Corporate Recovery and Insolvency Services From Voluntary Administration Experts
Is your business at risk? Here's a simple test you could use to find out if your business is in danger of entering a difficult phase or has risk of bankruptcy. Many directors and entrepreneurs tell us that the balance sheet of their business is “okay”. The simple way test for insolvency is to lookout for overstated assets such as obsolete stock, debtors that are not really collectable and work in progress. Deduct these from your balance sheet and now take a fresh look at it. Does your business have the financial resources to pay secured creditors and the tax collector on time? If your secured creditors even think that your Balance Sheet does not reflect the true picture and that there is danger they might not get paid, they could (and usually do), approach the courts. Once that happens, things can really spiral out of control and you could lose the company. Instead, act pro-actively today by opting for Corporate Voluntary Administration; get help from professional rescuers such as Thomas Dawson of DCL Advisory. Probably insolvency is like cancer; the sooner you act, the better the chances of a full recovery. Does it not make sense to protect your hard work, investment and future by cutting costs wherever possible, paying off the creditors and planning to be in business when the turnaround comes? Thomas Dawson, a registered liquidator has 20 years’ experience as an insolvency and company turn-around specialist. Earlier, he worked with Ernst & Young before starting out on his own. Thomas, with his colleagues Anna Luck (CA) and Brad Calvert (CPA) has been involved in turning around hundreds of companies and SME businesses each facing insolvency, closure and bad debts. Corporate Voluntary Administration (CVA) is a powerful process and in most cases, Thomas Dawson and his team turn around a distressed company and save it from insolvency. It is vitally important to understand that, if the business is insolvent, then as a director, your duty shifts from acting in the interests of the shareholders to, ensuring the secured creditors position is protected. But its not all bad, because paying off your secured creditors or having an agreement in place to pay them off means you are also rescuing the company – in fact, that is what Corporate Insolvency Services is all about. Once you opt for Voluntary Receivership Services, Thomas Dawson and his team at DCL Advisory work overtime to secure a deal between your company and its secured creditors. The ideal deal of course is to offer to pay the creditors from future profits. If that offer is not accepted, than an alternate offer to sell secured assets (assets against which loans were obtained), and pay back secured creditors from the proceeds is made. The basis of the deal is to keep the directors in control, preserve the business and give it a fighting chance to survive. A business that survives insolvency emerges stronger and stands a good chance of rebuilding sales and becoming profitable. If you have any nagging doubts about your business balance sheet or know for sure that the business might be heading for the rocks, call Dawson at DCL Advisory today call him at 1300 352 570 or visit http://www.voluntaryadministrationexperts.com.au/
