Contingency Planning and Insolvency
Identifying and presenting available options to directors, shareholders and different classes of lender when faced with financial distress and crisis.
Contingency planning and insolvency challenges
Financial stakeholders often need a “plan B” in case their preferred solution is not deliverable. While the causes of financial distress may differ, experience has shown the benefits of appropriate contingency planning in terms of value preservation. Contingency planning has become even more important today with more complex capital structures and volatile financial markets. A well designed contingency plan identifies the drivers and relative costs and benefits between a consensual solution and an enforcement-based strategy.
How can we help?
The breadth of insolvency skills within Deloitte enables us to design detailed and viable solutions which can be delivered across borders, industries and processes. The fundamental elements of our approach are:
- Working alongside our M&A advisory team to establish alternative strategies
- Identify key concerns and manage the stakeholders throughout the process
- Work with tax and legal advisers to devise a practical implementation plan
- If appropriate, plan for short notice procedures (pre-pack administrations)
- Delivery of the insolvency based solution
- Project manage the wind down and closure process
- Act as liquidator and/or provide hands on implementation support
- Ensure continuity in leadership and expertise by drawing on the relevant expertise from the Deloitte network