The Nexia New Zealand Insolvency & Recovery team has seen an increase in work in 2020 with new engagements almost doubling those in 2019. While the majority have been shareholder appointments across varying industries, we are also beginning to see the effects of COVID-19 and the strain it has placed on the economy.
Key legal changes
The implementation of the Insolvency Practitioners Regulation Act 2019 and key changes to the Companies Act 1993 has impacted our work as Insolvency Practitioners. Key points to note:
Additionally, a recent Supreme Court decision has highlighted the need for directors to be cautious. There are now clear guidelines for scrutinising directors’ actions when a company continues to trade while insolvent, and where the shortfall to creditors is increased, this will be a clear breach of the duty not to trade recklessly.
How can Nexia New Zealand help you?
All businesses encounter challenges at some point. Timely and expert advice may be able to prevent insolvency and can lead to recovery options. We help businesses spot early signs of concern and set them back on the right track.
Our appointments in the last 12 months
National insolvency statistics - YTD comparisons
Craig is a Partner at Nexia Christchurch, and is Chair of the Nexia New Zealand Board. He has extensive experience in the commercial environment.
He is also an accredited Insolvency Practitioner, a member of Chartered Accountants Australia New Zealand, and Restructuring Insolvency and Turnaround Association of New Zealand (RITANZ).
p 03 379 0829