Solvent Wind-down Advisory
Closing a business can involve more than simply ceasing operations. Contracts and accounts may need to be terminated, assets realised, liabilities and disputes settled, intercompany balances resolved, and tax and other statutory matters brought up to date before the company is ready for a straightforward liquidation.
Oakbridge provides advisory support to help businesses plan, monitor and progress an orderly wind-down of their affairs.
A structured approach to winding down your business
Oakbridge provides practical advice for businesses to manage a solvent wind-down process in a structured and orderly way. We work with management to establish a clear plan, provide guidance on matters that need to be addressed, monitor and update progress before getting them ready to go into straightforward solvent liquidation.
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We work with management to understand the company’s position, identify the matters that need to be addressed, propose the best course of actions to safeguard and coordinate the company’s realisation of assets and settlement of outstanding creditors’ issues, and establish an agreed wind-down plan and timeline.
The plan will provide a structured view of the key actions, responsibilities, dependencies against the agreed target timeline.
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We provide guidance on issues that arise as the business is wound down and the suggested approach in order to keep the wind-down on track . We also identify areas where specialist advice or assistance may be required (e.g. solicitors, tax agent, etc.).
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Oakbridge monitors the progress of winding down against the agreed plan and timeline. Oakbridge also performs periodic updates to stakeholders on issues that arise during the winding down. Where required, a revised step plan and timeline may be proposed.
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The responsibility for implementing the wind-down actions remains with the company and the relevant service providers, where applicable.
For example, Oakbridge may monitor whether contractual obligations and supplier discontinuation are being completed in accordance with the agreed wind-down plan. However, Oakbridge does not draft legal documents, prepare tax computations, negotiate settlements or authorise transactions.
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These are separate services.
Not every company entering an MVL requires a separate Solvent Wind-down Advisory engagement. As part of our MVL service, Oakbridge provides guidance on preparing the company for liquidation, including outlining high-level preparatory steps that the management will need to take in order to prepare for a straightforward MVL.
Solvent Wind-down Advisory may be appropriate where the company requires a more substantial or structured wind-down plan before it is ready for liquidation.
Where an MVL is ultimately required, Oakbridge can separately assist with the liquidation .
Frequently Asked Questions
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The service may be appropriate where a business has decided to close or exit but has substantial or some ongoing operations and there remains matters to work through before it is ready for a straightforward liquidation.
Still have questions?
If you would like to understand the Solvent Wind-down Advisory service or discuss your circumstances before proceeding, we can arrange a short introductory call.