The Companies (Rescue Process for Small and Micro Companies) Act 2021 was commenced on 7 December 2021.
Small businesses that are experiencing financial difficulty will be able to avail of the Small Company Rescue Process (previously known as known as the Small Company Administrative Rescue Process or SCARP), which will be similar to the existing examinership framework, but aims to make the restructuring process more accessible, expedient and cost effective.
Commenting on the announcement, Brendan O Donoghue Restructuring & Insolvency Partner with RBK, said “This is welcome news for businesses now having to come to terms with the gradual paring back of state supports and creditor forbearance whilst still struggling from the effects of the pandemic and ongoing Brexit uncertainties. This process will provide a lifeline for viable but insolvent companies to reach compromise with its creditors, restructure its Balance Sheet business and continue its business.”
At RBK, we operate a dedicated Corporate Recovery Helpline to support Directors, Managers and Business Owners (T: 01 644 0103 E:
If you would like to discuss the Small Company Rescue Process, our lines are open Monday to Friday from 9 am to 5.30 pm and on Saturday from 10 am to 1 pm.
