Company nearly bankrupt in Spain

Company nearly bankrupt in Spain
A changing market, falling demand or too low a profit margin? There are dozens of reasons why a company can go bankrupt.

For example, thousands of companies that saw their turnover (largely) disappear got through the coronapandemic with the help of government aid.

We are now seeing a slowing of the bankruptcy curve or who wants to sell their business quickly?

Some entrepreneurs decide to make a fresh start after bankruptcy, which can be a type of business takeover.

What is it exactly and how can you realise it? Make an appointment with our specialists.

What is a relaunch?

A restart of your company means that you continue a part of or your entire company after bankruptcy.

This often results in a lack of understanding from employees and creditors, because why should your company go bankrupt?

Surely your employees will be left out in the cold?

If your company goes bankrupt, a receiver comes into the picture.

He or she ensures a smooth handling of the bankruptcy.

Among other things, the trustee looks after the interests of the creditors.

For this purpose, he wants to realise the highest possible proceeds from the company.

Experience shows that the proceeds of a restart are often higher than in a bankruptcy without a restart.

In addition, it is often possible for some employees to return to work, so that these interests are also taken care of.

When do you make a restart?

You can only make a restart as a legal entity, such as an NV or an SL (U), and you have to expressly state your wish for a restart during our consultation.

As a sole proprietorship, where you are personally liable in the event of bankruptcy, a restart is more difficult, but it is possible.

If a part of or the entire organisation still has sufficient prospects for the future, but the bankruptcy is a fact due to unfortunate circumstances, you often have the option of a clean slate. We have the right people for this.

What should you pay attention to in a restart?

Look before you leap.

Bankruptcy is filed for because your company can no longer keep its head above water due to structural problems.

If you are considering a restart, then we will tackle these structural problems directly and drastically, because a restart does not solve these problems in one go.

A technical bankruptcy gives entrepreneurs the opportunity to restart a new company without the ongoing labour contracts.

If you want to restart part of your business without bankruptcy, then you are legally obliged to transfer existing employment contracts to your new company.

What you should definitely not do in a restart

Do not play hide-and-seek.

Inform your employees, customers and suppliers and tell them the truth, however difficult that may be.

And also tell them what you intend to improve during the relaunch.

This way, you ensure that you take responsibility for your actions and it also inspires confidence in your commitment and way of working.

If you can see your bankruptcy coming well in advance and you are keen on a relaunch, don’t hesitate to make an appointment, better to do it too early than too late.

Otherwise, you run the risk of a conflict of interests between the old and the new company and this can cause a lot of trouble.

Buying a company out of bankruptcy

If a company is eventually declared bankrupt, then it is possible for investors to buy such a company. Buying a company out of bankruptcy requires a specific approach. You can buy the bankruptcy estate, buy part of the estate at auction or buy the entire company from the trustee.

Why should you buy a bankrupt company?

A company has gone bankrupt for a reason.

But opinions are divided on this. A company can have very good prospects for the future, but due to mismanagement or strangling contracts, it is inevitably heading for bankruptcy.

Sometimes it pays to buy a bankrupt company and to restart it under a fresh new name.

Or perhaps the company’s inventory is perfect for expanding your own business.

We do thorough research before you decide to buy a bankrupt company.

Obtaining legal advice is not an unnecessary luxury. Make an appointment before 10 past 12!

We do all business acquisitions, make an appointment with one of our specialists.