Small Business Restructuring

The Government has made changes to Australia’s insolvency framework to better serve small businesses,
their creditors and their employees. As part of these changes, the Government has introduced a new,
simplified debt restructuring process for eligible small businesses from 1 January 2021.

The process allows financially distressed small businesses to access a single, streamlined process to
restructure their debts, while allowing the owners to remain in control of their business. This will support
more small businesses to survive, meaning better outcomes for businesses, creditors, employees and the
economy.

All of our Partners are small business restructuring practitioners.

To be eligible to access this new process your company must:

• be incorporated under the Corporations Act

• have total liabilities which do not exceed $1 million on the day the company enters the process. This excludes employee entitlements;

• resolve that it is insolvent or likely to become insolvent at some future time and that a small business restructuring practitioner should be appointed; and

• appoint a small business restructuring practitioner to oversee the restructuring process, including working with you to develop your debt restructuring plan and restructuring proposal statement