Company status / short analysis
The starting point for the well-founded derivation of the necessary decisions is a survey of the essential cornerstones of the company’s status (legal and tax situation, shareholders, products/services, competitors, …) and the economic situation (assets, financial and earnings position, historical development, planned approach). The analysis also includes the determination of the stage of the crisis.
We work with you to determine the status. Depending on the stage of crisis identified, we consult lawyers specialising in insolvency law in consultation with our clients. We accompany and support our clients in any necessary bank discussions regarding restructuring contributions.
Assessment of the existence of grounds for opening insolvency proceedings
According to court rulings, the managing directors are required to continuously ascertain the economic situation of the company in order to identify indications of a risk of insolvency. The company’s legal representative must provide evidence that an insolvency petition has been filed without culpable delay. If declines in income, liquidity bottlenecks or a depletion of equity capital occur in accounting during the year, these crisis signals must be investigated further and a check conducted of whether there are grounds for filing for insolvency.
We assist our clients in compiling the necessary basic documents for the assessment of grounds for opening insolvency proceedings – insolvency (Section 17 InsO (insolvency Act)), over-indebtedness (Section 19 InsO), impending insolvency (Section 18 InsO). Depending on the results of this, we consult lawyers specialising in insolvency law in consultation with our clients.
We define upheaval situations as events that are not foreseeable or only foreseeable to a limited extent, and which could endanger the existence of the company. These include, for example, company succession, shareholder changes or conflicts between management and owners.
In a corporate crisis, the functionality and stability of the company are already impaired. There is a risk of collapse. There is a threat of insolvency without consistent, rapid and appropriate intervention. As a rule, a corporate crisis neither occurs suddenly nor without prior notice.