17-428MR ASIC reports on corporate insolvencies 2016/17
Imagine the positive impact to people’s lives if just half of these 8,425 companies could have been turned around…. On 12 Dec 2017, ASIC published its annual overview of corporate insolvencies based on statutory reports lodged by external administrators for the 2016–17 financial year. The total number of external administrators’ reports lodged in 2016–17 was […]
Consider the Application of Safe Harbour Protection for Directors
Support for the carve-out model The Treasury Laws Amendment (2017 Enterprise Incentives No. 2) Bill (“the Bill”) has introduced Safe Harbour’. Effective 19 September 2017, safe harbour provides protection for the directors of financially challenged companies from personal liability arising from insolvent trading. The model adopted sets the safe harbour as a legislative ‘carve-out’ rather […]
‘Twilight Zone’, Voluntary Administration and Safe Harbour Protection for Directors
Twilight Zone – Directors Appointment of Administrators Australia’s stigmatising of corporate failure and the favouring creditors over debtors has given little incentive for directors to attempt a restructuring and turnaround of their companies. On the emergence on financial troubles, directors face an immediate decision as to whether they must place the company into administration. This has […]
Safe Harbour – Director Protection From Insolvent Trading
On 11 September 2017, the Treasury Laws Amendment (2017 Enterprise Incentives No. 2) Bill 2017 passed through the Senate. On 18 September 2017 the Bill received royal assent and Safe Harbour came into effect the next day (on the 19 September 2017 – the accompanying ipso facto reforms are not yet to commence for another […]
A Comprehensive Package of Reforms to Address Illegal Phoenixing
The Turnbull Government is taking action to crack down on illegal phoenixing activity that costs the economy up to $3.2 billion per year to ensure those involved face tougher penalties, the Minister for Revenue and Financial Services, the Hon Kelly O’Dwyer MP, announced today. Phoenixing – the stripping and transfer of assets from one company […]
How to Deal With Financial Crisis and What Constitutes Financial Crisis
What Really Constitutes a Business Crisis? Before we dive into what to do when your business experiences a financial crisis, let’s clarify what this term actually means: Your business is NOT in crisis because your manager walked off the job or a customer fails to pay their invoice on time. Your business MAY be in […]
Phoenixing, It’s Cheap but Can You Afford the Hidden Costs?
Are you considering phoenixing a company? Because of the tough economic times in the past few years, there is a great deal of confusion amongst small and medium business owners about how best to deal with a struggling company. One unfortunate consequence of this is the rise in phoenixing companies – both legally and illegally. But is it really […]
Safe Harbour by AICD
Landmark ‘safe harbour’ legislation, a reform that could energise businesses and the economy, has passed the Senate.
8 Mistakes Our Brains Make Every Day and How to Prevent Them
Get ready to have your mind blown. I was seriously shocked at some of these mistakes in thinking that I subconsciously make all the time. Obviously, none of them are huge, life-threatening mistakes, but they are really surprising and avoiding them could help us to make more rational, sensible decisions. Especially as we strive for continued […]