Coronavirus (COVID-19) updates from the Australian Government

Simplified debt restructuring

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A factsheet for small business

The Government has made changes to Australia’s insolvency framework to better serve small businesses, their creditors and their employees. As part of these changes, the Government has introduced a new, simplified debt restructuring process for eligible small businesses from 1 January 2021.

The process allows financially distressed small businesses to access a single, streamlined process to restructure their debts, while allowing the owners to remain in control of their business. This will support more small businesses to survive, meaning better outcomes for businesses, creditors, employees and the economy.

Further information for small businesses on how the new streamlined restructuring process will work and how to access it can be found in the factsheet.

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