COVID – 19: THE UNAVOIDABLE FINANCIAL IMPACT

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  1. The novel Coronavirus (Covid-19) has had a devastating impact on International markets and economies since early 2020.  The majority of South Africans are already experiencing the harse effects the virus has on our economy.
  1. The Regulations published in terms of the Disaster Management Act, No 57 of 2002, which inter alia brought about the extended national lockdown, which is likely to remain in force for the foreseeable future, will undoubtedly result in the financial demise of numerous persons and entities.
  1. Whether you find yourself as a debtor or creditor in these challenging times, it is prudent to assess your financial and commercial position before worse comes to worst. 
  1. In these dire times our office is still able to, amongst others, assist any person or entity in respect of the following: 
    1. To determine which of your debtors is in default or in breach of any agreement and advise on steps that can be taken against them;
    2. To consider your commercial agreements, and advise on the “force majeur” clauses contained therein, as well as the impossibility to perform as a result of the virus; 
    3. To advise and negotiate payment holidays or suspension of performance, in terms of any agreement between debtors and creditors;
    4. To advise and assist with voluntary of compulsory sequestration/liquidations of any person/entity, in light of its recently introduced insolvency;
    5. To prove claims in the insolvent estate of any sequestrated/liquidated debtor;
    6. To advise and assist with the launching of business rescue proceedings in respect of any distressed entity.
  1. Waiting for the proverbial storm to pass could have dire financial consequences on you or your entity which, in this stressed economy, could easily lead to insolvency. 
  1. It would be in your/your entity’s best interest to act as soon as possible and prevent the novel Coronavirus from being the cause of your financial demise. 
  1. Our office is available to assist with the above by way of telephonic or video consultations during the extended lockdown period.

SD Nel: 082 303 8303 / sd@sdnel.co.za