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Factors of a Successfully Implemented Compulsory Settlement

Author

Listed:
  • Bukovšek Marjeta Zorin

    (PhD Student at the Faculty of Economics and Business, University of Maribor, Slovenia)

  • Bratina Borut

    (Faculty of Economics and Business, University of Maribor, Slovenia)

  • Tominc Polona

    (Faculty of Economics and Business, University of Maribor, Slovenia)

Abstract

In Slovenia, many companies try to avoid bankruptcy with the introduction of a compulsory settlement procedure, but only a handful of companies successfully complete the compulsory settlement in the sense of a final repayment of creditors in accordance with the adopted financial restructuring plan. The article identified the factors affecting the confirmation of a compulsory settlement as well as the factors affecting the final repayment of creditors and, thus, permanently eliminated the causes of insolvency. The factors were divided into internal and external, whereby the impact of factors on a successfully completed compulsory settlement was verified using quantitative and qualitative research methods.

Suggested Citation

  • Bukovšek Marjeta Zorin & Bratina Borut & Tominc Polona, 2017. "Factors of a Successfully Implemented Compulsory Settlement," Naše gospodarstvo/Our economy, Sciendo, vol. 63(1), pages 14-26, March.
    • Handle: RePEc:vrs:ngooec:v:63:y:2017:i:1:p:14-26:n:2
    DOI: 10.1515/ngoe-2017-0002
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    compulsory settlement; insolvency; financial restructuring plan; business restructuring; ownership restructuring;
    All these keywords.

    JEL classification:

    • G33 - Financial Economics - - Corporate Finance and Governance - - - Bankruptcy; Liquidation
    • G34 - Financial Economics - - Corporate Finance and Governance - - - Mergers; Acquisitions; Restructuring; Corporate Governance

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