First and foremost, business rescue is about people. Advising a client in financial difficulty can be daunting for both the advisor and the client.
Generally, most people in financial difficulty fall into one of these categories:
- those who have the strength of character to cope with the demands of debt pressures, are willing to take decisive action and manage the transistion back to financial stability
- those who may be in need of reassurance, who will 'over-worry' if immediately presented with a very negative outlook
- those who ignore the warning signs and appear unable to take decisive action to weather the storm.
Refered to as the 'know your client' test, often our initial approach is to reassure the client that various rescue options are available. The approach and strategy to be applied will of course be dependent on each individual case. The key challenge for adviosrs is to provide a platform and a realistic solution whereby clients can, at the end of the process, move forward in a positive manner with renewed hope and energy for the future.
In response to addressing the challenges faced by advisors, Michael Drumm and Sean Cavanagh have developed a guide to provide a general overview of the practical options available to businesses and individuals. Primarily it will be of interest to accountants, solicitors, banks, credit unions and other advisory bodies and professionals who wish to be aware of the options open to their clients who may be in financial difficulty.
The following links look at the available options in more detail. A PDF version of the full guide is available to download here.
- Taking decisive action and responsibilities
- The options
- Company options
- Personal options
- Partnership options
Link to: The Options
A PDF version of the full guide to 'Business Rescue and the Insolvency Process' is available to download here.
Whilst every effort has been made by CavanaghKelly to ensure the accuracy of the information here, it cannot be guaranteed and neither CavanaghKelly nor any related entity shall have liability to any person who relies on the information herein. Information given here is for guidance only. Detailed professional advice should be taken before acting on any information contained herein. If having read the guidance here, you would like to discuss further; a member of our team would be pleased to help you.