STATUTORY DEMAND THRESHOLD INCREASED TO $4,000 FROM 1 JULY 2021

STATUTORY DEMAND THRESHOLD INCREASED TO $4,000 FROM 1 JULY 2021

The Corporations Amendment (Statutory Minimum) Regulations 2021 increase the threshold at which a creditor can issue a statutory demand on a company from $2,000 to $4,000. The increase will come into...

Ready for the end of the Financial Year?

In the lead up to the end of the financial year, there is always a rush to get matters finalised and for loose ends to be tied up. In this rush, it can be easy for tasks to be missed. To assist in...

Case Update: Unfair preferences – DOCA defence by ATO unsuccessful

In the March 2021 case, In the matter of Western Port Holdings Pty Ltd (receivers and managers appointed) (In Liq) [2021] NSWSC 232, the NSW Supreme Court has confirmed when payments made to the ATO...

Case Update: Unfair Preferences Payments made by Third Parties

Under section 588FA of the Corporations Act 2001 (Cth), a liquidator is entitled to claw back payments made by a company in the lead up to its liquidation that unfairly prefer or prejudice the...

COVID-19 Financial Assistance for Small and Medium Businesses in 2021

On 11 March 2021, the Federal Government announced the SME Recovery Loan Scheme (Recovery Loan Scheme), which will come into effect on 1 April 2021 and operate until 31 December 2021 and aims to...

Director Resignations: New Laws Apply from 18 February 2021

From 18 February 2021 a company director will not be able to backdate their resignation more than 28 days or resign and leave a company without a director. Backdating resignations was a common tactic...

Three Ways to Ensure your Business is Viable Post COVID-19

In 2020, COVID-19 forced most Australian businesses to change how they operate and to seek assistance, with 55% accessing wage subsidies and 38% accessing other government support measures. Given...

insolvency

What Happens When Your Company Becomes Insolvent?

When your company becomes insolvent, you can expect a number of things outside your control to happen that you might want to know about and understand your rights. You Receive Invoices or Demands for...

Business Due Diligence

Instalment Contracts and Forfeiture of Deposits

A recent matter reminds us all that in a hot real estate market and rising prices, any delays in settlement can be a fundamental breach. However-not all may be lost if there is an instalment contract...

Small Business Restructuring Reforms Now in Effect

On 1 January 2021, a number of amendments to Chapter 5 of the Corporations Act (2001) (Cth) came into effect, establishing a new framework of Australian insolvency law to better serve small...