The CIGB, which has been fast tracked by Government, introduces both permanent and temporary measures in an effort to help struggling businesses. The permanent measures include a new procedure for Directors to apply to court for a Moratorium, which if granted, will provide the company with a limited payment holiday in respect of certain debts. This may prove to be a useful option for companies who need a short period of time (initially 20 days but this may be extended) breathing space to restructure their business.
Other measures include the prohibition on the reliance of termination clauses in contracts for the supply of goods and services. The purpose being is to allow a company in financial distress to continue trading and to ensure that suppliers cannot insist on the payment of outstanding charges as a condition of future supply.
These will hopefully prove to be very useful tools during such a difficult time. If you require any further details re the options available feel free to get in touch.