Corporate
Schemes of Arrangement
Structured agreements with creditors to resolve corporate financial difficulties.
What does this entail?
A Scheme of Arrangement (SA) is a formal restructuring mechanism, supervised by the court, that enables a company to reach a legally binding agreement with its creditors to repay all or part of its debts over an agreed period. The company continues to trade while the arrangement is in place, subject to meeting the agreed terms and ongoing obligations.
Once approved by the requisite majority of members and creditors and receives approval by the court, the SA becomes binding on all stakeholders. It is designed to provide breathing space for companies with a viable underlying business but unsustainable debt levels, offering an alternative to liquidation or business closure.
Get in Touch
Chris Iacovides
Chief Executive Officer
Andri Antoniou
Director - Licensed Insolvency Practitioner
Marios Kofteros
Director - Licensed Insolvency Practitioner
When is it appropriate?
SAs are appropriate where a business remains operationally viable but is experiencing financial pressure due to historic debts, cash-flow constraints or temporary trading difficulties. This option may be suitable where creditor support can be secured and where continued trading would preserve greater value than liquidation.
An SA is often considered where management wishes to retain control of the business, through a supervised insolvency process, while implementing a structured repayment plan, and where there is a realistic prospect of survival.
How we can help
Our dedicated team at CRI Consulting can assist with the preparation and implementation of meaningful and lawful proposals that can be presented to creditors for their consideration and approval, with or without modifications.
Next steps
Speak to our team to assess whether a SA could provide a sustainable path forward for your business.
Key Benefits
An alternative to liquidation for viable businesses
- Enables continued trading and ensuring operational continuity
- Haircut of historic debts and structured debt repayment
- Improved cash-flow stability
- Preservation of enterprise value
Experienced, Trusted Advisers
Our services are delivered by experienced, qualified professionals who follow a structured and transparent process, from initial assessment through to implementation. We combine technical expertise with a practical approach to ensure each engagement is managed professionally and focused on achieving appropriate outcomes for all stakeholders.