Operating a Distressed Business

Special committees made up of independent directors can guide a company through the bankruptcy process without accusations of bias.

When is a business turnaround no longer viable? Ask these questions to determine if you or your client’s business can be saved.

QUESTION: Scott T,  emailed, asking, “I have a client who owns a few income-producing properties, and she thinks she may not be able to make her next mortgage payments to her lender. What should I tell her to expect?” ANSWER: Once a default on a commercial loan is looming or occurs, a proactive mortgage lender should be expected to review several factors surrounding property management. If a third-party manager is involved, the lender will want to determine whether any lien rights arise in favor of this property manager, including in […]