Financial restructuring is the reorganisation of a business’s assets and liabilities. The process is often associated with corporate restructuring, where an organisation’s overall structure and its processes are revamped.
Most businesses go through a phase of financial restructuring at some point, though not always necessarily to address any shortfalls. However, when a company is in crisis it may attempt to renegotiate with its secured and unsecured creditors to reduce or eliminate some of its debts. In some instances, the creditors will often work to adjust the terms of the repayment, including lower interest rates and/or extending the repayment schedule. Debts may also be commuted in part, often in exchange for the creditor gaining some equity in return.
We assist in exploring the following options:
- Advisory on Financial Structuring of the company with an optimal mix of equity and debt.
- Facilitating replacement of high cost debts with low cost debts.
- Assisting our clients with restructuring of their debt, making effective settlements and structuring new financing options and enabling them to move forward and grow.