Restructuring and Winding Up

If a company has entered – or is expected to soon enter – into constrained financial circumstances that may mean its business is no longer viable, it may be useful to look closely at its contractual and creditor relationships to try to identify plans for promptly closing off expenditure in the event that a winding up becomes necessary. This exercise can reduce the risks of illegal insolvent trading occurring, and allow a future winding up process to be faster and less painful. It may also be possible to identify ‘staged shutdown’ plans that allow certain activities or business units to be ceased or suspended first, while other more essential and/or complicated areas of activity are kept running. If available, this staged approach may allow the overall business to ‘keep the lights on’ for longer while the owners and managers look at new investment or restructuring processes that could make the company viable again.

Combining our experience in management and strategy consulting with our core accounting expertise, we can work with your team to review the operations of your business and its creditor profile and assist with formulating and executing a plan to reduce the expenditure and insolvency risk, with a view to either restructuring the business or preparing for a controlled and orderly liquidation through winding up.

If a decision is made to undertake a winding up, we can help you to source a Myanmar CPA with the licence and experience to act as a liquidator. We can also assist in managing the overall winding up process – from the pre-liquidation auditing and solvency assessment right through obtaining tax clearances, deregistering the company and closing bank accounts and remitting any surplus funds to the shareholders. We will provide a single point of contact for inquiries and updates to minimize the involvement required from the client and remove the confusion from the process.