Insolvency Options

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Insolvency Options Insolvency Options (IODEBT) | Business recovery and debt solutions experts. Insolvency Options provides solutions to clients Australia-wide.

Our team has specialist knowledge in each of the following three areas: corporate insolvency, personal insolvency and business insight services, including financial health checks, independent business reviews and business valuations. Where necessary, we engage with insolvency practitioners to provide the solutions which best fits your financial circumstances.

Putting personal money into a business isn’t necessarily a problem.Sometimes a business has a temporary cash flow shortf...
15/10/2026

Putting personal money into a business isn’t necessarily a problem.

Sometimes a business has a temporary cash flow shortfall and additional funding gives it the breathing room it needs.

But if the director keeps having to put more money in to cover wages, tax or suppliers, it’s worth looking at what that funding is actually achieving.

Is the business moving back towards supporting itself? Are overdue debts coming down? Is there a clear reason for the shortfall that is being resolved?

Or is the extra money getting the business through another week before the same problem comes back?

ASIC identifies increasing reliance on personal funds as one possible warning sign of financial difficulty. That doesn’t mean the funding itself is the problem. The question is whether the underlying position of the business is improving.

If the director keeps putting money in and very little is changing, it may be time to look more closely at why the business continues to need that support.

A business may have stopped trading, but that doesn’t necessarily mean the company is ready to be deregistered.ASIC rece...
09/10/2026

A business may have stopped trading, but that doesn’t necessarily mean the company is ready to be deregistered.

ASIC recently reminded directors, accountants and registered agents that a company must have no outstanding liabilities before applying for voluntary deregistration.

That can include unpaid employee entitlements, supplier invoices, loans, leases, finance obligations and other creditor claims. An ATO payment plan also doesn’t mean the underlying tax liability is no longer outstanding.

There are other requirements too, including that the company is no longer carrying on business, has assets worth less than $1,000 and is not involved in legal proceedings.

So when a business stops trading, it’s worth checking what is actually left in the company before deciding what happens next.

When a business is under serious cash flow or debt pressure, Small Business Restructuring and Voluntary Administration m...
07/10/2026

When a business is under serious cash flow or debt pressure, Small Business Restructuring and Voluntary Administration may both need to be considered.

But there are important differences between the two.

With SBR, eligible companies must have liabilities of no more than $1 million, and directors remain in control of the business while working with a restructuring practitioner.

With VA, the voluntary administrator takes control of the company and investigates its affairs. Creditors then decide whether the company should enter into a DOCA, return to the directors’ control or go into liquidation.

There are other practical issues to consider too, including employee entitlements and tax lodgements, costs and timeframes, director loan accounts, related party voting rights and what happens if the proposed arrangement does not proceed.

We’ve put together a VA/DOCA vs SBR Fact Sheet that compares the key differences side by side.

It’s a practical reference for accountants and advisers to download, save and keep on hand when a client needs help understanding their restructuring options.

Sometimes the biggest risk in a business isn’t financial, it’s having too much knowledge sitting at one person's desk.It...
30/09/2026

Sometimes the biggest risk in a business isn’t financial, it’s having too much knowledge sitting at one person's desk.

It could be the employee who knows every customer, the bookkeeper who understands all the systems, the estimator who prices every job or the salesperson responsible for a large share of revenue.

What happens if they suddenly leave?

For a small business, the disruption can quickly become a financial problem. Quotes are delayed, invoices don’t go out, customers don’t know who to contact and important information can be difficult to find.

Take a look at the people your business relies on most. Are important processes documented? Can someone else access critical systems? Do customer relationships extend beyond one employee? Could another person step into the role if they needed to?

Good people are incredibly valuable. The goal isn’t to make them replaceable, it’s to make sure the business can keep operating without everything depending on one person.

Ask yourself one simple question: if someone didn’t turn up on Monday, what would stop?

Is Voluntary Administration becoming less relevant in Australia, or is its role simply changing?ASIC’s latest review loo...
24/09/2026

Is Voluntary Administration becoming less relevant in Australia, or is its role simply changing?

ASIC’s latest review looked at 5,020 companies that entered Voluntary Administration between July 2021 and June 2025. Of those, 44% went on to enter a Deed of Company Arrangement (DOCA), while 50% proceeded to creditors’ voluntary liquidation.

What stands out is that larger and more complex appointments were more likely to result in a DOCA. ASIC also found that among finalised DOCAs, 81% were wholly effectuated. For business owners, the takeaway isn’t that Voluntary Administration is better or worse than other restructuring options. It’s that different financial situations require different solutions.

With Small Business Restructuring now providing another pathway for eligible smaller companies, Voluntary Administration appears to be playing a more specialised role, particularly where businesses have more complex debts, assets, employees and creditor relationships.

The insolvency landscape has changed, but understanding which option fits the circumstances remains just as important.

22/09/2026

Lease guarantees. Major red flag explained.

Listen to the full episode 14 on the I.O Insolvency Options podcast.

What would happen to your business if your biggest customer stopped paying?For many small businesses, one or two major c...
16/09/2026

What would happen to your business if your biggest customer stopped paying?

For many small businesses, one or two major customers can represent a significant share of revenue. That can be great for growth, but it also creates a risk that is easy to overlook.

If a major customer starts paying later, disputes invoices or suddenly can’t pay, the impact can quickly flow through your own business. Wages, suppliers, tax and loan repayments still need to be covered, even when the money you were expecting hasn’t arrived.

It’s why customer concentration deserves regular attention. Look at how much each major customer owes you, whether their payment behaviour is changing and how dependent your cash flow is on them paying on time.

Winning a big customer can help grow a business. Making sure you could survive without them is just as important.

Small Business Restructuring can give eligible businesses an opportunity to deal with debt while directors remain in con...
11/09/2026

Small Business Restructuring can give eligible businesses an opportunity to deal with debt while directors remain in control. But there’s an important limit to understand.

To access SBR, a company must have total liabilities of no more than $1 million. If the business has moved beyond that threshold, SBR may no longer be available.

That doesn’t necessarily mean there are no options left. Depending on the circumstances, other pathways such as Voluntary Administration and a potential Deed of Company Arrangement may need to be considered.

The important thing is not to assume a particular restructuring process will fit. Directors need to understand the full financial position of the business, including its liabilities, tax obligations, employee entitlements and ongoing viability, before deciding what comes next.

If financial pressure is building, getting a clear picture sooner can make a significant difference to the options available.

09/09/2026

In episode 17 of the I.O. Insolvency Options podcast, Darren discusses the brutal truth... I only want to see you once.

Listen to the full episode wherever you get your favourite podcasts.

04/09/2026

With more news of construction companies collapsing, we are bringing back a snippet from Episode 22 of the I.O Insolvency Options podcast where Darren's discusses how fixed priced contracts are becoming too risky.

Listen to the full episode wherever you get your podcasts.

Address

38/3 Box Road
Sydney, NSW
2229

Opening Hours

Monday 9am - 5pm
Tuesday 9am - 5pm
Wednesday 9am - 5pm
Thursday 9am - 5pm
Friday 9am - 5pm

Telephone

+611800463328

Website

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