To help Chartered Accountants, the Restructuring Insolvency and Turnaround Association New Zealand (RITANZ) and Chartered Accountants ANZ have published this guide. It outlines some of the options available as part of the relief measures introduced by the New Zealand Government around insolvent trading laws in the Companies Act 1993. These include the temporary safe harbour protection and the business debt hibernation scheme.
The guide also highlights the importance of only dealing with an Accredited Insolvency Practitioner listed on the RITANZ or CA ANZ websites. Choosing the right person to assist your client in these difficult times is a critical decision. It is important that your clients are placed in the hands of an experienced practitioner, not just for themselves but also to ensure that you fulfil your own obligations as a professional advisor, particularly given the financial stress the clients may find themselves in.
The five page guide also outlines the next steps if the temporary relief options can’t save the business as well as support available for those affected emotionally.