With the current state of the economy, some businesses have been more adversely affected than others. Typically, there are fewer options in financing debt for distressed companies. In his latest business advisory, PLDO Partner and business attorney Bill Miller, offers practical tips and suggestions for business owners who are having trouble paying off financial obligations to creditors. Attorney Miller has over 30 years of advising and representing a wide range of national and international clients.
Among the suggestions Attorney Miller offers in his advisory is to put together a “Compliance Checklist” for each loan agreement, equipment leases and other contracts. The document should list everything the company has agreed to do during the term of a loan and the due dates for compliance. Compliance Checklists provide a quick reference and avoid the need to revisit lengthy and complex documents several times each year. He also recommends that if it appears that the company will trigger a technical default by failing to comply with its non-payment obligations, opening a timely and candid dialogue with the lender is usually more productive that simply waiting for a default notice from the lender. Read the entire advisory for more suggestions and information.