When financial indicators signal red flags, “business as usual” no longer appears to be working and liquidity becomes a problem, action must be taken quickly. The survival of an organization can sometimes be at risk quickly, but more often insidiously. Immediate restructuring measures are necessary to turn the tide. As an entrepreneur or shareholder, you can then initiate a restructuring yourself. Before the bank starts this for you or bankruptcy is filed for you.

In this white paper, we share some indicators that a company needs to be restructured to regain the prospect of a healthy future. We then discuss the phases of a typical restructuring process and FBM Corporate Finance’s experience.

When an organization has not responded to change in a timely manner, firm intervention may be necessary. Known reasons are a production capacity that no longer matches demand, business operations that have lagged behind changes in the market or outdated propositions that are no longer in demand. But each case remains unique. Restructuring is when structural interventions must be made in the short term to give the organization a new perspective on continuity. The terms recovery, crisis management or turn around are also used for this.

This short white paper covers the following topics.

• Indicators
• Analysis and baseline measurement
• Implementation of the plan
• Drafting improvement scenarios
• Operational restructuring
• Financial restructuring
• Recovery and evaluation
• From Practice
• Why FBM Corporate Finance?