The laws and guidelines to help businesses impacted by the Coronavirus pandemic are evolving daily and bankruptcies and insolvencies are areas where changes are still being finalised by Treasury and the Federal Government.
The Federal Government has announced some changes, including its intention to make temporary amendments to bankruptcy and insolvency laws because of the challenges COVID-19 now poses for many otherwise profitable and viable businesses.
These probable changes are temporary and the Government advises the changes will be in place for 6 months.
A general overview of the measures unveiled by Treasury were:
Once these measures are implemented, we believe they will assist many small and medium businesses to continue trading through the current period of disruption, rather than requiring them to appoint administrators due to solvency concerns.
It is more crucial than ever to seek commercial and strategic advice to best navigate you and your business through this incredibly challenging time. There are options but you need to act early. Please get in touch if we can assist or you would like to discuss.
The information in this blog is intended only to provide a general overview and has not been prepared with a view to any particular situation or set of circumstances. It is not intended to be comprehensive nor does it constitute legal advice. While we attempt to ensure the information is current and accurate we do not guarantee its currency and accuracy. You should seek legal or other professional advice before acting or relying on any of the information in this blog as it may not be appropriate for your individual circumstances.