New Safe Harbour laws are now in effect. Company directors can now obtain protection from insolvent trading personal liability while they turn their company around.
We help small business owners who are struggling financially and are bordering on insolvency to recover and save their businesses.
“The creation of a safe harbour under new Australian laws introduced in September 2017 creates necessary breathing room for directors to turn a company around rather than allowing it to fail for fear of personal liability. This will not only promote a culture of entrepreneurship and help reduce the stigma associated with business failure, but offers businesses a better chance of restructuring outside of a formal insolvency, which often produces significantly better outcomes for the company, its employees and its creditors.”
Safe harbour is not a type of appointment under the Corporations Act 2001 (Cth) and therefore, does not need to be made public (unless listed).
The time to obtain this protection is when it is first suspected that the company is insolvent or likely to become insolvent.
Who controls the company when this happens?
Under Safe Harbour Turnaround…
The directors remain in full control of their company.
Under Voluntary Administration or Liquidation…
The registered liquidator will take over control of the company.
SeaLevel Turnaround helps directors navigate their way through Safe Harbour and create the best opportunity to avoid liquidation or bankruptcy.