The Improvement Project in Postponement of Bankruptcy Process: An Evaluation from the Business Point of View
AbstractIt is inevitable for the capital companies and cooperatives in Turkey to go bankrupt in case the assets of the company are insufficient to meet the obligations. However, the law enacted in 2004 has enabled the bankruptcy to be postponed. The company requesting the adjournment of bankruptcy should not only fulfill the legal requirements but also present the court a convincing and serious improvement project. The main objective of this study is to discuss how to prepare such a plan from the point of view of business manager. The improvement project is a financial project based on objective and solid data which contains precautionary measures envisaged to rescue the company. In general the project should incorporate financial and administrative measures. Financial measures include direct and indirect cash inflows from sources like finding new partners, selling personal assets of existing partners and focusing on high profit margin products to ensure that the assets can cover the liabilities. The administrative measures in the field of accounting, finance and human resources contribute to the healing process indirectly. This paper explains the financial and administrative measures in detail.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Uludag University, Faculty of Economics and Administrative Sciences in its journal Business and Economics Research Journal.
Volume (Year): 1 (2010)
Issue (Month): 3 (July)
Improvement project; Postponement of bankruptcy; Bankruptcy; Improvement hope; Insolvency;
Find related papers by JEL classification:
- K22 - Law and Economics - - Regulation and Business Law - - - Business and Securities Law
- M00 - Business Administration and Business Economics; Marketing; Accounting - - General - - - General
You can help add them by filling out this form.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Adem Anbar).
If references are entirely missing, you can add them using this form.