At BRI Ferrier, we have extensive experience in achieving successful recovery outcomes through voluntary administration and DOCA. From appointment to resolution, from impartial voluntary administration to small business restructuring, BRI Ferrier aims to revive financially distressed businesses and restore order.
Voluntary administration is a formal restructuring process designed to give financially distressed companies the opportunity to stabilise, restructure, and maximise their chances of continuing to trade.
A company may appoint an independent, external administrator when it is insolvent or likely to become insolvent. Once appointed, the administrator takes control of the company, creating an immediate pause on most creditor action while the business’s future is assessed.
This isn’t necessarily the end.
With the right expertise, voluntary administration meaning changes. Voluntary administration becomes a rescue, designed to preserve as much of the business as possible.
If you’re considering voluntary administration vs liquidation, need expert advice on business restructuring, or want more information about safe harbour laws, BRI Ferrier provides the support you need for a second chance.
Formal appointment as Australian voluntary administrator
We take control of the company, liaise with directors, creditors, financiers, suppliers and other stakeholders, and assess whether the business can be saved, restructured or should be wound up.
Preparation of business viability reviews and restructuring plans
From independent business reviews to financial analysis, operational assessments, and strategies designed to restore solvency or optimise outcomes under distress, BRI Ferrier has extensive experience.
Restructuring management via DOCA
As your voluntary administrators, we’ll negotiate with creditors, tailoring repayment or restructuring terms that work for all parties, and helping the business continue trading where viable.
Implementation of informal turnaround or stabilisation arrangements:
We aim to reduce the severity of the financial fallout through cash flow stabilisation, creditor negotiations, moratoria or repayment plans, asset‑divestment strategies, and operational restructuring.
Insolvency and liquidation support if recovery isn’t feasible
Acting as liquidator or business insolvency practitioner, we can manage asset realisation and creditor claims in an orderly way.
The company’s directors (or a secured creditor) formally appoint BRI Ferrier as an independent administrator when the company is insolvent or likely to become insolvent.
We assume control of the company’s affairs, review the finances, operations, debts and assets, and prepare a report assessing viability or recovery options.
Within a few business days, we will hold an initial meeting with creditors to outline the situation, gather claims, and form a committee of inspection.
Based on the investigation, the administrator may propose: a formal restructure agreement (known as DOCA), returning control to directors, or winding up the company.
Within 25-30 business days of appointment, a second meeting is held. The creditors vote on the proposal: DOCA or liquidation.
If a DOCA is accepted, it’s signed and the company tries to trade under the new arrangement. If liquidation is chosen, or DOCA fails, the company is wound up, assets sold and creditors paid out as far as possible.
Voluntary administration is often suitable for otherwise viable businesses experiencing financial pressure due to:
Significant bad debts
Loss of a major contract
Legislative or regulatory changes
A one-off catastrophic event
Withdrawal of financier support
Temporary cash flow constraints
It can also be used as a strategic tool where a company needs to restructure operations, exit unprofitable divisions, or reposition its business model. The appointment of a voluntary administrator provides breathing space, which allows the business to operate without creditor pressure while a recovery strategy is developed.
Successful voluntary administrations are built on early identification of financial distress and a realistic assessment of whether the underlying business remains viable. There is little benefit in pursuing restructuring if the business model itself cannot sustain recovery.
A carefully developed restructuring strategy that addresses the root cause of cash flow difficulties, combined with clear communication with stakeholders, significantly increases the likelihood of achieving a Deed of Company Arrangement (DOCA) and preserving value.
Our primary focus is always on business recovery.
No templates. We design restructuring strategies specific to your business.
Years of experience in protecting directors, rescuing businesses, and delivering commercial outcomes.
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In an article published by the Master Builders Association in the October/November 2013 issue, Costa Nicodemou, Head of Property and Construction at BRI Ferrier Sydney, discusses the new director penalty notice (DPN) regime and how it can affect businesses in the construction industry.
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