Corporate Insolvency During Covid 19 Pandemic
When Is A Company Insolvent?
A business can be called ‘insolvent’ when it is unable to pay off its debts due to a negative cash flow or has liabilities that exceed the ratio of its total assets. Under the dictates of the Australian Securities and Investment Commission (ASIC) – the regulatory body for insolvent businesses in Australia – the most common exit options for an insolvent corporation include:
- Liquidation
- Receivership
- Voluntary Administration
How Has COVID-19 Pandemic Led to Corporate Insolvency?
When COVID-19 struck the world with its disastrous nature, it was difficult to analyze the impact it would have on Wall Street’s 11-year old bull market. As the cases took an incredible pace, economies all over the world got battered, stock markets plummeted, and the employee redundancies took unbelievable proportions – the pandemic indeed brought a significant amount of damage with itself, and businesses have suffered dramatically under the circumstances. As the conditions further deteriorated, they went from breaking-even to making significant losses!
What Can Brisbane Debt Solutions Do to Help You?
In order to help your corporation get over corporate insolvency and financial crisis in times of COVID-19, Brisbane Debt Solutions offers:
- Bespoke, business-centric solutions that reduce the stress of insolvency;
- Practical and speedy services that help you tackle even the most complex insolvency challenges;
- Consistent insolvency support to help you attain the outcome you need with minimal hassle.
Redeem your first free consultation service today and sit down with us to talk about your business – we are all ears! Click here for further details.
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