The federal government is set to overhaul Australia’s bankruptcy laws, to help more businesses get through the effects of the coronavirus pandemic.
Hundreds of Aussie businesses have already entered insolvency this year, while thousands of others have been propped up by the JobKeeper package.
But, when that begins tapering off from this month, there’s a worry more will be pushed over the edge.
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The Treasurer has announced changes to the current bankruptcy laws that hopes to give businesses more control over the insolvency process.
It’s understood it will ensure a flat fee for companies that have to call in advisors to help them out of trouble.
“We want businesses to have more control as they seek to restructure and to repay their liabilities,”
The Treasurer will outline more details of the government’s fiscal strategy in a speech to the Australian Chamber of Commerce and Industry today.