Planning and effecting an organization’s emergence from bankruptcy can be one of the most taxing and complex projects from an accounting and logistical standpoint. Management must navigate complex legal restructuring and accounting requirements during the equivalent of an additional year-end close process while establishing the successor opening balance sheet and new relevant accounting policies. VAC Consulting’s Accounting & Reporting Advisory Services group will help keep your organization on track and can help reduce the overall burden of the technical accounting planning, adjustments, and disclosure requirements so management can focus on running the reorganized business.
- Review of balance sheet and operating/legal structure to assess the level of effort required to account for the entity’s emergence
- Assist management with implementation timeline and assess system and process requirements for equivalent of additional year-end close process
- Review plan document and work with management to manage the allocation and reconciliation of liabilities subject to compromise, exit financing structure, and related funds flow
- Coordinate assistance with the entity in the evaluation of the impact to previous net operating losses, creditor recoveries & forgiveness of debt, and other income tax aspects of the reorganization
- Work with the entity’s external auditors in the planning process