Services Details

Insolvency Resolution

Insolvency resolution is a critical process that helps distressed businesses navigate financial challenges and regain stability. At B.G. Shetty & Co., we provide comprehensive insolvency resolution services, offering guidance and support to businesses facing insolvency or liquidation. As an Insolvency Professional, CA B.G. Shetty leads a team that ensures that businesses under financial distress are able to find viable solutions to their problems, protect stakeholder interests, and comply with the regulatory framework.

Our insolvency resolution services focus on providing a structured approach to resolve debt and financial distress, safeguarding the interests of both creditors and the company. We work with all stakeholders to explore potential solutions that can restore financial health, ensure regulatory compliance, and provide an orderly exit if required.

Our process typically includes the following steps:

• Initial Assessment: We begin by assessing the financial condition of the company, reviewing key aspects such as outstanding liabilities, cash flow, assets, and business operations. This helps us determine the extent of the distress and identify potential solutions.

• Insolvency Petition Filing: If insolvency proceedings are required, we assist in filing the insolvency petition with the relevant authorities under the Insolvency and Bankruptcy Code (IBC). This process ensures that the company is placed under a formal insolvency framework and protected from creditor actions.

• Resolution Process: We guide businesses through the Insolvency Resolution Process (IRP), which includes the formation of a Committee of Creditors (CoC), preparation of a resolution plan, and negotiations with creditors to work out an arrangement that resolves debts and restores the company’s financial health.

• Corporate Restructuring: In cases where a restructuring plan is viable, we assist in designing a strategy that includes debt restructuring, business reorganization, and operational changes. This can involve renegotiating loans, restructuring agreements, or even selling non-core assets to raise liquidity.

• Negotiating with Creditors: A significant part of the insolvency resolution process is negotiating with creditors to arrive at a mutually agreeable settlement. We leverage our expertise to mediate between creditors and the distressed company to find the best possible outcome.

• Final Resolution: Once a resolution plan is agreed upon, we help implement the plan, ensuring compliance with all relevant regulations. The company is given an opportunity to restart its business operations, or in some cases, assets are liquidated to pay off creditors.

• Liquidation: If no resolution is possible, the company may proceed with liquidation. We assist with the liquidation process, ensuring that assets are sold, debts are paid in an orderly fashion, and the company is formally closed in accordance with applicable laws.

Our team has deep experience in insolvency law and its application to businesses in distress. CA B.G. Shetty’s 33 years of expertise in insolvency resolution enables us to offer solutions that are practical, legally sound, and tailored to the unique circumstances of each client.

By partnering with us, businesses can rely on a professional and structured approach to resolving insolvency issues, while ensuring that the interests of stakeholders — from creditors to employees — are protected. Our goal is to provide clarity, stability, and the best possible outcome in difficult financial situations.