On the 1st of May 2011, Chapter Six of the New Companies Act launched Business Rescue in South Africa which contained ground breaking legislation which has considerable implications for the distressed companies in this country.
On the 15th of September this year, TMA Southern Africa organised a presentation together with the Companies and Intellectual Property Commission (CIPC) to inform members of the industry about these implications.
- Status of accreditation of professions and licensing of business rescue practitioners.
- How to file for business rescue.
- How to register as a business rescue practitioner.
- Questions and Answers.
The second part was presented by TMA-SA Directors Jan van der Walt and Alastair Macduff, which took the format of Jan and Alastair asking each other questions about their respective experiences and challenges encountered with their real live business rescue appointments. They then invited their clients onto the podium to share their experiences leading up to the decision to go into Business Rescue. The audience was invited to also ask questions and debate issues. Typical issues that were addressed in the conversation were:
- The first things to do after appointment
- How different stakeholders react to business rescue
- The battle with uninformed creditor attorneys
- Sureties versus guarantees
- What to do during the 1st 10 days
- How to handle the 1st meeting of creditors / employees' representatives
- How to prove claims – form, issue of no interest
- How to prepare the business rescue plan
- The meeting to determine the future of the company