Date: 19 April, 2020
Author: Karl Gribnitz
When businesses become distressed, the first point of contact is often the businesses’ attorney. Attorneys often look at what legal action can be taken to protect their clients, without considering business rescue as an option.
Business rescue is a complicated matter, and without a competent practitioner in place, things could go wrong very quickly.
G&A Compass Associates offers attorneys a safe passage for their clients’ distressed businesses through this quagmire by taking the attorney along the journey as the client representative. The attorney will ensure that G&A always complies with the law, and support the client in legal matters along the way. The attorney and G&A will work in association for the duration of the business rescue proceedings, as illustrated below.
The normal course of action (through the courts) dictates that an advocate will be appointed to represent the distressed business in court. In this case, the attorney takes a back seat, and most fees accumulate around the advocate’s time.
Our methodology keeps the proceedings out of court, and ensures that a bigger portion of the fees accumulate to the attorney’s account.
The process is as follows:
All the services provided by the business rescue practitioner are based on the original G&A Compass methodology, which allows for verification and consistency to ensure that the highest level of compliance occurs at all times.
The business rescue practitioners who work with G&A Compass use these products extensively to ensure that they meet the requirements and obligations as set out in the Companies Act.
Working with G&A Compass specialists will offer you and your client:
- better economic outcomes for the business
- a business rescue that should be concluded in 4 to 6 months
- a solution for all Affected Parties and not only one creditor solution
- the attorney becomes a part of the business rescue team
- the attorney’s team undergoes training to fulfill their role
- the attorney makes more money more often
- no payment guarantee required from anyone