This article explains the various stages of bankruptcy. The details of each stage are explained in this step by step manual, which makes an attempt to decode the complex interactions that precede bankruptcy.
Articles on Bankruptcy
This article explains the concept of organizational decline. It provides a brief about how different experts have different views on the issue.
This article explains the external causes of organizational decline. It lists down the external factors and explains their link to an organizational decline in detail.
This article lists the two most important internal factors of organizational decline. It also explains exactly how these factors create an organizational culture, which is an important determinant of the ability of an organization to respond to external changes.
This article explains the concept of a bankruptcy prediction model. It also explains the two most commonly used models for predicting bankruptcy. The methodology used by these models, as well as the shortcomings, have been explained in detail in this article.
This article lists the shortcomings of bankruptcy prediction models. Common shortcomings have been listed and explained in detail in order to improve awareness amongst investors.
This article explains the legal point of view behind bankruptcy proceedings. It also explains some of the directive principles which are followed while the court discharges its duties related to bankruptcy proceedings.
This article explains the strategic application of bankruptcy laws. It explains the bankruptcy need not always be involuntary. In many cases, companies can voluntarily file for bankruptcy. This is because filing for bankruptcy may result in tangible economic benefits. Some of the strategic application of bankruptcy laws have been explained in this article.
This article lists some more strategies which are used by firms while filing for bankruptcy. It explains how bankruptcy does not need to be an involuntary event and how it can benefit the firm in some cases.
This article explains the various types of bankruptcy frauds. It also explains the distinction between bankruptcy fraud and using bankruptcy as a strategic tool.
This article explains how employment contracts are treated in the event of a bankruptcy. It explains the various legal provisions which apply to employment contracts in case of bankruptcy. It also explains the position of severance debts in relation to the other debts, which have to be paid by the organization filing for bankruptcy.
This article explains the concept of deepening insolvency. It also provides details about how this concept is used in a court of law. Lastly, it discusses some of the criticisms commonly presented against the deepening insolvency theory.
This article lists the various types of costs that a company incurs when it files for bankruptcy. It also explains the details of each type of costs and how they affect the bankruptcy process.
This article explains how cost-cutting can happen in companies facing bankruptcy. It also explains why cost-cutting is important in such companies.
This article provides information about why the selection of a bankruptcy venue is important. It also explains the various factors which must be taken into account before finally selecting a bankruptcy venue.
This article provides information about DIP (Debtor in Possession) financing. It explains the need for DIP financing. It also explains how DIP financing is different as compared to other sources of financing.
This article explains the various modes of DIP financing. It explains the pros and cons of each mode and also the different situations in which these modes can be used.
This article explains the incentives of different groups of stakeholders. It explains why these incentives need to be understood before proposing financial solutions to different stakeholder groups.
This article explains how special claims arise during the bankruptcy process. Some examples have been provided to aid better understanding. The nature of these claims, as well as the actions taken to mitigate them, have been explained in this article.
This article lists the various objectives behind a reorganization plan. It also dwells upon the moral issues related to the objectives chosen during a reorganization plan.
This article explains the role of an exit strategy in the context of bankruptcy. It also explains the various steps which have to be implemented in order to achieve the exit strategy. The article also explains the importance of flexibility in the entire process.
This article explains how bankrupt businesses need to stabilize their operations. It lists the various departments and business processes in which action needs to be taken in order to stabilize the firms operations.
This article explains the concept of a creditors committee. It also explains the rights as well as duties of the members of this committee. Lastly, it also explains why certain creditors want to become a member of this committee, whereas others choose not to.
This article explains what a disclosure statement is. It also explains what the contents of this statement are and what is the process that needs to be followed in order to get this statement approved.
This article explains the solicitation process. It explains the various parties involved in the solicitation process as well as their role. Finally, it explains how special cases related to the solicitation are managed by the company.
This article describes the voting process in detail. It explains the conditions in which creditors are allowed to vote and how these votes are counted in order to agree upon a reorganization plan.
This article explains the process of confirmation of a bankruptcy reorganization plan. It lists down the various steps that need to be completed before a bankruptcy plan is brought into effect. It also explains why following each of these steps is important and why there is a need for such a lengthy process.
This article explains how fixed assets can be sold in order to raise funds during bankruptcy proceedings. The details of the procedures used to dispose off fixed assets for the highest consideration have been explained in this article.
This article explains the concept of debt to equity swaps. It explains how debt to equity swap adds value to both parties. Lastly, the limitations of debt to equity swaps have also been written down in this article.
This article explains the financial impact of bankruptcy on the shareholders of a company. It tries to look at the bankruptcy process from the point of view of a shareholder. The various forms of monetary losses commonly faced by shareholders have been listed down in this article.intere
This article provides information about the various types of regulatory filings that a company needs to file during bankruptcy proceedings. The details of the various schedules, as well as their legal implications, have been explained in detail in this article.
This article uses the Economic Theory of Moral Hazard to explain why Bankruptcies must follow a just and fair process. Using this theory and the real world examples of business tycoons, we argue that encouraging defaulters sends the wrong message to future businesspersons. In addition, we review the Bankruptcy Laws in the United States and India and discuss how the latter can help restore and rejuvenate the businesses.
This article explains the concept of a cram-down. It explains how a cram down works in bankruptcy. The article also provides details about the requirements which have to be met before a cram down is brought into effect.
This article explains the meaning of term cram up. It explains how this term is related to the term cram-down. It also explains the two common methodologies of imposing a cram up. Finally, the article explains which methodology is better based on the present market conditions.
This article explains what cross border bankruptcy is. It lists the various issues which are commonly faced while filing for bankruptcy. Finally, it also explains the different frameworks that have been created in order to deal with this issue.
This article explains why some investors are able to make money while investing in companies on the verge of bankruptcy. It also explains the important parameters which need to be paid attention to in order to make a handsome return while investing in companies on the verge of bankruptcy.
This article critically examines the bankruptcy laws governing us today. It provides reasons as to why business benefits more by having bankruptcy laws in place.
About the Author(s)
MSG team comprises experienced faculty and professionals who develop the content for the portal. We collectively refer to our team as - MSG Experts. To Know more, click on About Us.