Audit & Assurance
The changing economic situation and rapid evolution in every sector means that businesses are often faced with crisis situations that mean adopting measures, not only in finances but also necessarily in the legal field. We have experience in insolvency management from different positions, which gives us a practical and resolutive view of the problems generated.
What we offer:
At PKF Attest we accompany you from the time crisis situations are first perceived, analysing and proposing opportune measures, and we are qualified to address them promptly in order to minimize the effects and achieve business continuity.
As a multidisciplinary firm, we have added value over other groups that only focus on legal or financial advisory services. Our legal division, working in conjunction with PKF Attest’s different economic divisions, gives us the capacity to study, design and implement appropriate measures from a global perspective.
We are a reference in Spain in these services, with extensive experience in the area of corporate restructuring or re-negotiation, both outside insolvency proceedings and within them.
Integrated assistance at all stages of the insolvency proceedings from a legal and financial angle:
Stage 1: Pre-solvency situations
- Analysis of the Company’s different alternatives in order to assess the feasibility and implications of the application to declare insolvency, analysing the possibility of considering an early agreement or reaching an ordinary agreement with creditors.
- Advice on the presentation and negotiation of the viability plan.
- Assistance in relations with the organization’s main suppliers and clients.
- Analysis of the personal risks affecting the Company’s directors, partners and shareholders, other companies in the group, shareholders’ holding companies and directors’ responsibility.
- Analysis and review of the consequences of insolvency proceedings for both the company and the directors.
- Financial modernization of the different scenarios possible for “acquittances and deferrals” that could be considered to reach an agreement.
Stage 2: Preparation of insolvency proceedings and monitoring of the process
Processing the application for insolvency proceedings
Preparation of documentation to be delivered to the insolvency administrators. Amongst others:
- Descriptive report to attach to the application for voluntary insolvency proceedings.
- Inventory and list of the Company’s assets and rights.
- List of the Company’s creditors and debtors.
- Report on any significant changes in equity since the last annual accounts were formulated and deposited, and on any transactions which, because of their nature, object and amount, go beyond the debtor’s ordinary trade.
Representation and defence of the insolvent company at all stages of the proceedings, combining the goals of continuity, creditor satisfaction and the absence of directors, partners and managers’ economic liability. Thus:
- Coordination and interlocution with the insolvency administration and creditors.
- Preparation and negotiation of proposals for agreement and monitoring to be complied with.
- Re-negotiation of contracts or agreements with the Company’s main creditors, suppliers and customers.
- Control of company liquidation.
- Legal defence of directors, officers and shareholders in the context of bankruptcy proceedings.
Stage 3: Defence of creditors in the insolvency proceedings
A client or another debtor’s insolvency proceedings can have very harmful effects on the company. In view of this, it is important to adopt preventive measures to minimize risks and damages, and to monitor the proceedings to better defend the credit. In respect of this, our work includes, amongst others:
- Application for the debtor’s necessary insolvency proceedings.
- Communication of credit and deduction of VAT.
- Monitoring the recognition of credit and its effects.
- Analysis of the insolvency proposal and control of the payment plan.