Financial restructuring looks at reorganising the company's financial structure, with the aim of improving the value of the company and retaining the confidence of its shareholders, investors and key stakeholders.
A typical financial restructuring plan will consider:
- Whether debt can be exchanged for equity in the firm;
- Whether additional capital can be raised through a third party;
- Whether parts of the business need to be sold or wound down;
- Whether investors need to have part of their original investment returned - and the approach required to deliver this;
- Whether a Scheme of Arrangement or a Company Voluntary Arrangement (CVA) needs to take place - and how both can be delivered;
- Whether forensic accountants need to be brought in and if fraud investigations need to take place.
R3 members can provide advice on a range of business and personal finance issues. To find an R3 member who can help you, click below.