Case Study: Sydney Electrical Retail Shop

In this Case Study, My Business Path stepped in to assist the business through a Winding Up Application, Business Restructure and Voluntary Administration. A plan was devised that saw creditors paid, the company continue trading and debt significantly reduced. Read how we made this happen.

Appointment Details

Service Winding Up Application
Business Restructure
Voluntary Administration
Location Sydney, NSW
Industry Retail
Duration 3 years


The Financial Situation

In this Case Study, this Sydney Electrical Retail Shop came to My Business Path

  • facing a Winding Up Application and debt of $717,000 owing
  • with creditors facing losing the debt amount should the company go under

 

The Solution

My Business Path's role in relation to the business was to

  • move efficiently and action within a matter of days
  • arrange a halt on the Winding Up Application immediately, seeking adjournment to push the hearing date back
  • place the company into Voluntary Administration to counter act against the Winding Up Application
  • work alongside Administrators to reduce debt down to $108,000
  • draft a Deed Of Company Arrangement that didn't affect cashflow and business trading while setting up an affordable payment plan
  • negotiate with creditors and steer them away from Voluntary Liquidation
  • set up systems to avoid returning to the previous financial difficulties through a Business Restructure.

 

The Results

My Business Path worked closely with the business to see

  • debt reduced from $717,000 to approximately $108,000
  • creditors make their money back with debts serviced
  • cashflow unaffected
  • the Deed Of Company Arrangement carried out
  • business continue trading
  • systems set up for a viable future

 

 

The people are real. The businesses are real. My Business Path designed tailored solutions that worked. 

Need Help With Winding Up Applications, Business Restructure Or Voluntary Administration?
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