Financial Restructuring

Seigfreid Bingham’s Financial Restructuring service group focuses on helping businesses and individuals navigate financial distress and reorganize their financial obligations. The goal is to improve the client’s economic health, ensure long-term sustainability, and protect stakeholder interests and assets. We have extensive experience across various industries, covering all critical areas of finance and restructuring.

Our team uniquely and individually approaches every restructuring, focusing on each client’s background. We strategically navigate the complex issues associated with tailored restructuring.  Our team possesses strong legal, negotiation, and communication skills, along with a deep understanding of financial principles.

When working on financial restructuring matters, our attorneys guide clients through all steps, including the comprehensive assessment and strategic planning phase, negotiations, legal compliance, implementation, litigation support, transactions, communication, and ongoing post-restructuring support.

Initial Assessment and Strategy Development: The process begins with an in-depth assessment of the client's financial situation. This involves reviewing financial statements, identifying key issues, and understanding the client's goals. Based on this evaluation, Seigfreid Bingham works with financial advisors to develop a comprehensive strategy. This strategy aims to stabilize the client's finances, manage liabilities, and restore profitability.

Negotiation with Creditors: A significant part of financial restructuring involves negotiating with creditors. Attorneys work to restructure existing debt, including extending payment terms, reducing interest rates, or even negotiating debt forgiveness. Effective negotiation skills are crucial in achieving agreements that are beneficial to the client while satisfying creditors.

Drafting and Filing Legal Documents: Attorneys prepare and file various legal documents required during the restructuring process. This may include drafting restructuring agreements, forbearance agreements, and other related contracts. Proper documentation is essential to ensure that all parties understand and agree to the terms of the restructuring plan.

Compliance with Legal and Regulatory Requirements: Ensuring compliance with all relevant laws and regulations is a critical aspect of financial restructuring. This includes adhering to bankruptcy laws, securities regulations, and other applicable legal requirements. Attorneys navigate clients through this complex legal landscape, helping them avoid potential pitfalls and penalties.

Implementing Restructuring Plans: Once a restructuring plan is agreed upon, attorneys assist in its implementation. This involves coordinating with financial advisors, creditors, and other stakeholders to ensure the plan is executed smoothly. Attorneys may also provide ongoing legal support to address any issues that arise during the implementation phase.

Addressing Potential Litigation: Financial restructuring can sometimes lead to disputes and litigation. Attorneys must be prepared to defend their clients against legal challenges, such as creditor lawsuits or claims of fraudulent transfers. If necessary, they may also initiate litigation to protect the interests of their clients. Strong litigation skills are essential for successfully navigating the courtroom.

Mergers and Acquisitions: In some cases, restructuring may involve mergers, acquisitions, or asset sales. Attorneys provide legal advice and support throughout these transactions, ensuring that they are conducted in accordance with the restructuring plan and applicable laws. This may involve drafting purchase agreements, conducting due diligence, and negotiating terms with buyers or sellers.

Communication and Stakeholder Management: Effective communication with stakeholders is crucial during financial restructuring. Attorneys work to keep all parties informed, managing expectations and addressing concerns. This includes regular updates to creditors, shareholders, employees, and other key parties. Transparent communication helps build trust and facilitates cooperation.

Post-Restructuring Support: After the restructuring plan is implemented, attorneys often provide ongoing legal support to ensure that the client remains on a stable financial footing. This may involve monitoring compliance with the restructuring plan, addressing any new legal issues, and providing advice on further financial improvements.