The Small Business Restructuring Process (SBR) & Simplified Liquidation (SCVL), was introduced on 1 January 2021 to assist small businesses suffering financial distress. The take-up was initially very slow, but now it is off and running as our SBR Statistics indicate.
As more advisors and businesses become familiar with the process, there are likely to be significant increases in these numbers. GM Advisory regularly publish the latest SBR Statistics.
SBR is attractive to directors of small companies because they are significantly more cost effective than (say) a voluntary administration. The company can avoid liquidation if caught early enough and the Plan proposed to creditors is realistic.