ADVANTAGES OF CORPORATE BUSINESS RESCUE As a result of financial difficulties experienced during the South African lockdown period, many companies are at the crossroads of having to choose between liquidation and business rescue. Some are still able to function but are likely to become factually and commercially insolvent within the next six months. Deciding whether or not to apply for business rescue can be a… Read More »BUSINESS RESCUE PRACTITIONERS

The recent worldwide health crisis and the subsequent world economic crisis have led to many business failures. In South Africa, hair stylists, restaurants, and many accommodation establishments, such as resorts and bed and breakfast type guesthouses are still not operational. Puzzle room operators, flea market vendors, and event companies cannot yet operate. The same applies for tour bus companies. For many of the businesses, it… Read More »WHAT HAPPENS WHEN A COMPANY GOES INTO INSOLVENCY?

WHAT YOU NEED TO KNOW TO APPLY FOR VOLUNTARY SEQUESTRATION IN SOUTH AFRICA Did you lose a large part of your income during the South African response to the worldwide health crisis? Are you afraid that the creditors may initiate legal proceedings for debt collection? Are you about to lose your tools of trade, furniture, and even costume jewellery because of debts owed? You can… Read More »APPLY FOR VOLUNTARY SEQUESTRATION

Company liquidations in South Africa are more common than most people realise. The two main types of liquidations are: WHAT IS THE DIFFERENCE? The deregistration of a company at CIPC is also referred to as liquidation. In this regard, a solvent entity is brought to a close, and the easiest way to end it is to deregister it at CIPC. The assets and liabilities must… Read More »WHAT HAPPENS IF A COMPANY IS LIQUIDATED IN SOUTH AFRICA?

HOW TO GET OUT OF DEBT DURING THE ECONOMIC CRISIS IN SOUTH AFRICA: FILING FOR BANKRUPTCY It is no longer a matter of not getting into debt, but how to get out of debt. The worldwide 2020 COVID-19 health crisis has led to governments taking decisive actions to combat the spread of a potentially devastating disease. However, for many owners of small and medium-sized businesses,… Read More »HOW TO GET OUT OF DEBT

HOW CAN SEQUESTRATION ATTORNEYS HELP WITH FINANCIAL REHABILITATION IN PRETORIA? The economic crisis affects everyone, from small businesses and contract workers to employers and employees alike. Some people are affected more than others. If you are at the receiving end of non-payment by clients and, because of it, end up bankrupt, you have the option of filing for bankruptcy. WILL IT HELP? If you have… Read More »HOW CAN SEQUESTRATION ATTORNEYS HELP YOU?

The sequestration process entails legal proceedings whereby an applicant applies to be declared bankrupt or where a creditor applies to the court with the help of attorneys to have a debtor be declared bankrupt. VOLUNTARY SEQUESTRATION IN A NUTSHELL With voluntary sequestration, the insolvent party’s attorneys handle the court application and the applicant doesn’t have to be at the court hearing. If the application is… Read More »WHAT IS THE SEQUESTRATION PROCESS?

HOW CAN A DEBT PRACTITIONER HELP YOU TO RESCUE YOUR BUSINESS? With more and more companies struggling to keep their doors open and prevent large-scale job losses, the need for an alternative to liquidation has brought about the business rescue option. The Companies Act 71 of 2008 makes provision for business rescue to help a company recover from its financial distress. A debt practitioner is… Read More »BUSINESS RESCUE

DOES BUSINESS RESCUE WORK AND HOW CAN A DEBT PRACTITIONER HELP YOU TO RESCUE YOUR BUSINESS? The most prominent question that company directors ask when having to decide between liquidation and business rescue is whether business rescue really works. To understand why companies opt for the latter, we have to consider the benefits of the process as opposed to liquidation. For a business rescue to… Read More »DOES BUSINESS RESCUE WORK?

SEQUESTRATION PROCEEDINGS WHAT ARE THE SEQUESTRATION PROCEEDINGS IN SOUTH AFRICA? Sequestration proceedings in South Africa entail a legal process whereby the financial estate of an individual is surrendered and the individual is declared bankrupt. The court appoints a trustee/curator to oversee the administration of the estate, which also involves the selling of assets on auction and distribution of the proceeds to the creditors who have… Read More »SEQUESTRATION PROCEEDINGS