HomeHome SearchSearch MenuMenu Our productsOur products

Is your business rescue practitioner the right man for the job?

by , 22 January 2014
Over 3 766 businesses are liquidated every year in South Africa. If your business is insolvent and you're still trading, you can restructure and reorganise your business through business rescue. But to do this, you need to follow the correct processes and appoint an eligible business rescue practitioner.

But how do you know if he's the right man for the job? Let's have a look at the five requirements he must meet before you appoint him.

********************
Become your company's resident accounting genius overnight!
Whether you've been working with accounting for many years or balance sheets look like hieroglyphics to you, this essential accounting service will turn you into your company's resident accounting genius overnight!
Click here for more
********************

Is your business rescue practitioner the right man for the job?

If you want to appoint your own business rescue practitioner, make sure he's eligible before you approach the courts.

Here's a handy checklist you can use before you just appoint anyone as your business rescue practitioner.

Checklist: Five requirements your business rescue practitioner must meet
  • He's a CIPC accredited member in good standing
  • He operates in a legal, accounting or business management profession
  • He isn't subject to a court probation order
  • He isn't disqualified from acting as a director (Companies Act)
  • He or his relations don't have any relationship with the company that would lead a reasonable and informed third party to conclude that these relationships compromise his integrity, impartiality or objectivity.
But what happens if your business practitioner doesn't check all the boxes? Keep reading to find out…



What if your business practitioner doesn't check all the boxes?    
If your business rescue practitioner doesn't meet all these requirements, don't appoint him! Your creditors or the courts will appoint one for you.

Want to know the A-Z of Business rescue? Look out for it in your next Practical Accountancy Loose leaf update. Not a subscriber? Click here.

Until next time,



Philip Rosenberg
Product Manager, Practical Accountancy Loose Leaf service
P.S. Ask our experts any accounting related questions and get a problem-specific solution within 72 hours! Click here to find out how


Related articles




Related articles



Related Products



Comments
0 comments


Recommended for You 

  Quick Tax Solutions for Busy Taxpayers – 35 tax answers at a glance



Here are all the most interesting, thought-provoking and common tax questions
asked by our subscribers over the last tax year – everything from A to Z!

To download Quick Tax Solutions for Busy Taxpayers – 35 tax answers at a glance click here now >>>
  Employees always sick? How to stop it today



Make sure you develop a leave policy to regulate sick leave in your company.

BONUS! You'll find an example of the leave policy and procedure in this report.

To download Employees always sick? How to stop it today click here now >>>
  Absenteeism: Little known ways to reduce absenteeism



This FREE e-report will tell you how you can reduce absenteeism in your workplace while avoiding the CCMA and without infringing your employees' labour rights.

To download Absenteeism: Little known ways to reduce absenteeism click here now >>>
  7 Health & safety strategies to save you thousands



Don't let a health and safety incident cost you one more cent. Implement these seven
strategies in your company today.

To download 7 Health & safety strategies to save you thousands click here now >>>