A Vehicle For Corporate Recovery

Neil Hughes | Managing Partner
+353 (0)1 669 9999
neil.hughes@bakertillyhb.ie

For a company in financial difficuly, examinership provides:

  • Time
  • Protection from creditors
  • A framework to agree a compromise with creditors

Examinership is often the last throw of the dice for companies in difficulty. It is not an appropriate relief for all companies and is not appropriate in many situations.

It is possible that due to its technical nature the procedure is not very popular, but it is a very useful weapon in the armoury of the company in financial difficulties; the director seeking to protect their personal interests, the creditor seeking to maximise his return or the investor seeking reduced risk in their investment.

In investment situations where procuring warranties and indemnities from directors is problematic, an examiner may provide the certainty required to facilitate investment.

Given the advantages to all parties connected to a company in financial difficulty that comes through examinership successfully, it is a matter that should be considered with advice from experienced professionals at the earliest possible time.