David Fleming, Managing Director in Duff & Phelps Global Restructuring Advisory practice, recently spoke to Financial Director about the financial relief available for businesses and whether it will be enough to mitigate the impact of the pandemic.
David commented: “The impact is deep across the economy—we’ve never seen anything like this before. Businesses are losing revenue; they’re completely stopping a lot of industries...I suppose what we don’t know is whether the government schemes are good enough, for want of a better expression, to support the businesses for a period of time. We just don’t know how long this thing is going to last and when we’re back to business as usual, and will companies and directors want to take on more debt?
David highlights that finance departments may find themselves riddled with debt, which may be a challenge to pay back. He recommends looking into mothballing opportunities to avoid formal restructuring and insolvency proceedings, wherever possible.
Read the full article here.
