The plan should first describe the company’s economic starting position, the causes of the crisis, and its assets and liabilities. It should then identify the operational measures for continuing the business, such as cost adjustments, new financing, contract changes, disposals, or adjustments to the business model. For each measure, it should specify the responsible parties, deadlines, funding requirements, and expected impact. Creditor treatment must clearly set out creditor groups, security interests, payment amounts, due dates, and any changes to existing rights. Different treatment requires a substantive explanation. An integrated income, liquidity, and asset plan should show how ongoing costs and committed payments will be funded. The plan should also include risks, dependencies, and the consequences of failing to meet key assumptions. Rules for monitoring, reporting, amending the plan, and responding to deviations make implementation verifiable. All figures must use the same reporting date and be reconciled with the list of creditors, accounting records, and financial plan.
Contents of a Rehabilitation Plan for an Insolvent Company in Georgia
A rehabilitation plan in Georgia must clearly explain how the insolvent company is to continue operating, be financed, and be reorganized in relation to its creditors. Continuity measures, creditor treatment, the schedule, and assumptions must be consistent with one another.
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