Crisis? Surmountable!
Turnaround? Fundable!
Future? Feasible!

There are four key questions that must be answered convincingly for a company to be given a certified positive going concern forecast and thus also be able to obtain external capital in the future:

A certain amount of expertise and experience is required to answer these questions, so that the German Federal Court of Justice (BGH) stipulates the involvement of external specialists. This is mainly also because a corporate crisis brings with it numerous legal implications that must be considered. These include insolvency law and labour laws, to name just two.

Furthermore, the stipulations of the Federal Supreme Court (Bundesgerichtshof) formulated in earlier case law must also be observed. In short, the prognosis for the feasibility of the restructuring must be made by an unbiased and qualified third party.

This means (caution; we are about to get technical) that there is a “capability to continue as a going concern” if the company is fully financed for the duration of the forecast period of the restructuring concept – i.e. it is not at risk of insolvency! With regard to revenues and competitiveness, the following applies: The competitiveness and with it also the re-financing ability of the company is assumed if it can refinance itself on the market. This requires both adequate returns and adequate equity.

Important prerequisite for both “stages of restructuring”: if illiquidity is imminent, countermeasures must be defined and implemented within two to a maximum of three weeks.