Business Rescue & Turnaround

Situations addressed

Difficulties take several forms: cash-flow strain, loss of contracts, indebtedness or disorganisation. The department steps in preventively, from the first warning signs.

Book V of the Commercial Code sets out a gradation of procedures. It provides for internal and external prevention, then safeguard, judicial reorganisation and liquidation. Law No. 73-17 reformed this Book in 2018.

The department also handles pre-litigation situations before they turn into disputes. In addition, the remission of tax penalties under Article 236 of the General Tax Code falls within its scope.

The department belongs to the Crisis Management & Restructuring pole, the backbone of the firm.

Business turnaround in Morocco: approach

Each assignment begins with a confidential preliminary diagnosis, which qualifies the urgency. The founder then leads every assignment directly.

Interventions include in particular:

• diagnosis of the financial and operational situation;
• analysis of the causes of the difficulties;
• cash-flow plan and emergency measures;
• preparation of negotiations with creditors before they open;
• operational restructuring;
• support for companies under court supervision.

For business turnaround in Morocco, the diagnosis serves to build a realistic and reasoned plan. The firm also prepares the material for creditors, partners and the bodies of the proceedings. However, court representation remains the role of lawyers: the firm prepares the files and works alongside them.

Proceedings documentation and proposals to creditors form part of the deliverables. A restructuring plan and implementation monitoring then complete them.

Business turnaround in Morocco: related tools and services

Several tools and services extend this work:

• Checklist – Warning signs of business difficulties;
• Template – Request for remission of penalties and surcharges (DGI);
• Business difficulties consultation – Warning signs;
• Crisis consultation – Qualification and first decisions;
• Preventing business difficulties – amicable treatment plan.

The checklist groups cash-flow, profitability, activity and legal warning signs. It thus makes it possible to act before proceedings open. In business turnaround in Morocco, early detection therefore opens the way to negotiation.