Business Administration Services
COMPANY Administration Support
We can guide you through the business administration process
- Qualified Australian Accountants
- 30+ Years of Experience helping Australian Businesses
What is Voluntary Administration
If you think your business is in financial distress, but could turn itself around with the right advice and strategy, then administration may be your saving grace.
Administration, also referred to as voluntary administration is the process whereby the operations of an insolvent company is voluntarily placed in the hands of an independent person or entity who can continue the operations whilst assessing all the available options to generate the best possible outcome for the business, business owners and creditors.
Where possible, they’ll seek to salvage the company and turn it around so it becomes a profitable entity again.
A voluntary administrator typically will fulfil the following roles:
- Take control of company
- Restructure the company if necessary
- Work alongside directors to assess whether the business can be salvaged
- Facilitate and manage creditor meetings
- Help directors prepare proposal or DOCA
- Assist with DOCA implementation
- Investigate and assess company affairs
- Provide advice to creditors
Early warning signs you may be in need of Administrative Support
Many business owners ignore the warning signs of serious financial distress, but in order to be proactive, you need to be honest about whether your business may be trading whilst insolvent, in which case you will need to engage independent administrative services.
The warning signs include:
- Limited or removed access to credit
- Difficulty attaining credit with suppliers
- Continued financial losses
- Steady decrease in sales
- Non-payment or continued late payment of tax liabilities
- Low stock turnover
- Receipt of demands and other serious legal notices
- Frequent reliance on other parties for funding
It’s imperative you heed caution to these warning signs, as failing to act poses significant risk to you as a company director.
When debts go unpaid and no action is taken to turnaround an insolvent business, or pay creditors, you as the company director may become directly liable for outstanding debts.
How we can help get your business back on track
There are countless reasons as to how and why businesses go into financial distress and become insolvent. From bad debts, high interest rate loans, decisions that didn’t work out, lack of financial planning, or an unfortunate slump in sales.
Unfortunately some of these things you just can’t plan for. But when business goes bad, it may help to know that you have options and that there are solutions if you act quickly. If you care about salvaging your business and know with the right guidance, support and financial strategy that it could be a success again, it may be time to chat with Lawrence Corporate Solutions.
Placing your company into voluntary administration can give you the time, space, expertise and perspective necessary to turn your business around, and get it back on track. Our support has helped thousands of businesses find their feet and turn a profit again.
- Voluntary administration is inexpensive to startup
- We provide a safe, supportive space to negotiate between the company and it’s creditors
- We create strategies to maintain and improve business
- We conduct independent business and financial reviews
- We reduce debts through finance tactics and negotiations
Where a business is decidedly not salvagable, we will look into alternative avenues which may include:
- A DOCA: Deed of Company Arrangement
- Facilitate a “Notice of Winding Up” if it has got to that point.
If you need help to determine what action to take, call us today for an obligation free discovery call.
what our clients say
Successful Stories From Our Clients
Our team’s unique experience and extensive skill has assisted countless Perth business owners to move past financial strive and work towards a bright and successful future. Here are some of our success stories:
Miranda was struggling to meet her 12-month payment arrangements with the ATO and, as 12-month arrangements are the most that the ATO will grant, Miranda felt that her financial position was a lost cause. After speaking with Lawrence Corporate Solutions, however, Miranda’s confidence was restored. Lawrence Corporate Solutions successfully negotiated a 24-month extended payment arrangement with the ATO, giving Miranda the breathing room that she needed to get back to running her business.
Sharon found herself being chased by the ATO for a mounting tax debt, and as her spouse had recently been unable work, it couldn’t have come at a worse time. With constant calls and letters, Sharon welcomed Empire Corporate Services stepping in and liaising with the ATO on her behalf. In the end, Sharon prevailed with a $79,904.62 remittance before the final balance was paid out.
After an accident that rendered David unable to work, he was forced to use his tax savings to live on. Very worried and not sure where to turn, Empire Corporate Services worked closely on David’s case and secured him an interest remittance of nearly $7,000 to cope with his financial stress.
With a mountain of ATO penalties (including the dreaded General Interest Charges (GIC), Failure to Lodge (FTL) penalties and business stresses mounting, Shane was in a dire financial position. On Shane’s behalf, Empire Corporate Services was able to remit over $34,000 after just one phone call. Shane’s headaches cleared and it was back to furthering his business!
When Sam’s major debtor went into $2m liquidation, Sam’s business hit a pivotal crossroads. Based on the guidance of his previous advisors, Sam felt his only option was to go bankrupt. With the help of Empire Corporate Services, Sam got his business valued and sold, paid back the bank debt owing and additional funding in place for all other unsecured creditors… all within a fast turnaround of just 6 weeks.
Mitchell came in for a general financial review to set his business on the right path to grow. Upon reviewing Mitchell’s financial structure, Empire Corporate Services discovered that Mitchell had ATO debts totaling more than $550,000… and Mitchell was totally unaware of what he owed. After extensive work in tracking back over Mitchell’s previous returns and BAS’s (as well as righting the submission errors that Mitchell had made), Empire Corporate Services successfully helped Mitchell receive remission of interests of his debts, totaling $320,000.
For a long time Kate didn’t realise… but the ATO had placed $10,000 in interest and fees on top of her tax bill after a she had previously filed a claim incorrectly. Understandably, Kate was frightened about what might happen to her. Lawrence Corporate Solutions stepped in on her behalf and successfully negotiated for a substantial reduction in the outstanding ATO balance. Kate went from owing $10,000 to receiving a $2,000 refund.