In the legal context, a corporation with serious financial difficulties may be given time to reorganize while being protected from creditors by the bankruptcy court. The court aims to help a company with a viable plan to make money an opportunity to attempt repayment to creditors, who might otherwise be left with no assets to collect from.
The laws of the Bankruptcy Code provide a process for rehabilitating the company's faltering business. Sometimes the company successfully works out a plan to return to profitability; sometimes, in the end, it liquidates. Under a legal reorganization, a company usually keeps doing business.
Our range of services in this field include:
Restructuring of debt; evaluation and negotiation of new interest rates for loans and debts.
Renegotiating equipment and machinery lease contracts.
Negotiating new price and payment terms with vendors and suppliers
Negotiating structured accounts payable settlements with vendors and suppliers
Preparing and implementing staffing reductions
Re-bidding contracts for insurance, maintenance, security, telecommunications, etc.
Auditing accounts payable and recovering erroneous payments
Investigating purchasing procedures to reduce inventories; recommend other sources of cost reductions.
