In a corporate reorganisation, the court appoints an administrator for your company. The task of the administrator is to determine how your business operations can be rehabilitated. The administrator conducts negotiations with your company and its creditors to find solutions to the problems affecting your business operations.
The administrator prepares a report on the assets, debts and other liabilities of your company, as well as factors impacting its growth. The administrator also audits your company’s business operations for the period before the corporate reorganisation.
Usually, the administrator also prepares a proposal for a reorganisation programme in cooperation with your company, its creditors and external experts. The proposal can also be prepared by your company or its creditors.
The administrator also monitors and supervises the operations of your company until the court has approved the reorganisation programme. As the entrepreneur, you will be in control of your company also during the reorganisation procedure. However, you will not be able to sell any property of your company or take out a debt without the administrator’s permission.
Corporate reorganisations and the work of the administrators are supervised by the Bankruptcy Ombudsman.