Page 5 - PowerPoint Presentation
P. 5
BUSINESSES IN DIFFICULTY
Overview
• Business entities may find themselves in financial
distress for a multitude of reasons.
• One of the functions of financial management is to
assist these businesses, in the form of sound advice
and with assistance in using the appropriate tools
at their disposal.
• Here, businesses could restructure/reorganise
themselves within the guidelines of the Companies
Act;
• they could enter into voluntary liquidation; or
• restructure by means of divestiture, or
• an absorption or
• amalgamation with another entity.
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