On 1 January 2021, new laws came into effect that introduces a new, simplified debt restructuring and liquidation framework for small businesses.
The new laws are intended to help manage the tide of insolvencies expected now that the temporary insolvency-related relief for financially distressed businesses has ended (the COVID-19 relief measures which protected directors from insolvent trading and raised the threshold for action by creditors, ended on 31 December 2020.)
Positioning the business for sale is all about ensuring that you achieve a sale and that maximises your price. It covers areas such as ensuring there are no hurdles within the business that will limit its saleability, identifying the competitive position of the business within its market segment, ensuring that operating performance is as good as it can be, and that the business benchmarks well in its market.
Now, more than ever, business operators should have a plan in place to manage during uncertain times.