Insolvency law consulting and restructuring
Many medium-sized companies in financial straits leave it too late to seek insolvency law advice. Their managers or board of directors fear that the cost-use ratio of consulting with insolvency specialists will not be economically justifiable. If the economic difficulties are greater than expected, they often need to apply for insolvency unprepared and discontinue their business. With proper consulting, they would have been able to keep their company – either by avoiding insolvency or by having been so well prepared that the business operation could have been successfully led out of insolvency through transferring restructuring or in a planning procedure.
Modern instruments of insolvency law such as self-administration, protective screen proceedings in line with the German Law on Simplifying Company Restructuring (ESUG, Gesetz zur Erleichterung der Sanierung von Unternehmen) and the insolvency plan are more aimed at preserving than breaking up businesses. In order for these instruments to be effective, insolvency law consulting for the company at risk must be sought out earlier than in the case of classic insolvency proceedings. If the restructuring specialist or the administrator works efficiently with the company’s tax consultant, corporate restructuring is also associated with lower costs than most companies expect.
We advise companies and their managers and board of directors, supervisory bodies and shareholders on the best way to proceed in insolvency law – both on avoiding insolvency proceedings and on their preparation and initiation. Our expertise extends both to self-administration with or without protective screen proceedings, the preparation of continuity forecasts pursuant to Section 270b of the German Law on Insolvency (InsO, Insolvenzordnung), the preparation of insolvency plans and the development and implementation of restructuring strategies.
We pay particular attention to the best possible economic solution. In doing so, we draw on the extensive economic expertise and abilities of our lawyers and tax consultants gained through their professional activity in industry and banks.
The inter-disciplinary restructuring approach from legal, tax and economic consulting is crucial for our success.
Our many years of experience in international legal relations also make us an ideal partner for cross-border restructuring.
We always bear liability risks of corporate bodies in mind. We verify the presence of reasons for applying for insolvency, hence impending insolvency, illiquidity and over-indebtedness and demonstrate ways in which the corporate bodies in crisis can avoid or minimize liability risks.
We effectively defend liability claims against corporate bodies in and out of court. Our many years of experience with liability processes and claims of shareholders and managers as insolvency administrators help us in this process.
We have successfully implemented the interests of creditors in and before the insolvency of a business partner for many years.
We support them in the enforcement of claims and application to prove debts in bankruptcy proceedings. Moreover, we show creditors ways in which possible risks of appeal can be minimized in the ongoing business relationship, thereby avoiding later enforcement proceedings and claims. We make use of our extensive knowledge of corporate accounting in complex enforcement proceedings.