Restructuring & Turnaround
When cash, covenants or creditors have become the problem, a clear plan and a credible voice with the lender change the outcome.
Businesses rarely fail suddenly. They lose ground over several quarters as margins slip, receivables stretch, a lender grows cautious and management's attention is consumed by the next payroll. The window for a good outcome is widest early, when the bank is still a partner and suppliers are still shipping.
Sapere Advisory works with owners and management teams in that window. We stabilize cash, establish an honest picture of the business, negotiate the time and terms needed with lenders and creditors, and build the operational and financial plan that restores the company to a bankable footing. Where a formal insolvency process is unavoidable, we coordinate with licensed insolvency trustees and legal counsel, but our focus is on the informal restructurings that preserve value and control.
How we help
Rapid cash stabilization
A 13-week cash flow forecast within days, immediate cash preservation measures and a disciplined weekly cash meeting.
Independent business review support
When the lender requests an independent review or moves the file to special loans, we prepare the business, manage the information flow and present the recovery case.
Lender and covenant negotiation
Covenant waivers and resets, forbearance agreements, interest-only periods, amortization extensions and standstill arrangements negotiated with a credible plan behind them.
Refinancing out of a distressed facility
Replacing a lender who wants to exit with one who wants to lend, including asset-based, private credit and government-backed options.
Creditor and supplier negotiation
Informal payment arrangements, CRA payment plans and supplier terms that keep the business operating.
Operational turnaround plan
Margin recovery, cost restructuring, pricing, product and customer rationalization, and the management changes required to deliver it.
Owner and shareholder options
Capital injections, partner buy-outs, sale of divisions or an orderly sale of the business where that is the best route to value.
Formal process coordination
Where a proposal under the Bankruptcy and Insolvency Act or a CCAA filing is required, we work alongside the trustee and counsel to protect the business and its owners.
Our approach
Assess
Within the first two weeks: a cash forecast, a realistic view of viability and a short list of the decisions that matter.
Stabilize
Cash controls, creditor communication and a holding position with the lender that buys time on agreed terms.
Plan
A restructuring and turnaround plan with milestones, financial projections and a financing structure the lender can support.
Deliver
Weekly execution against the plan, lender reporting and course correction as results come in.
Exit
Return to normal banking, refinancing or a transaction, with the business in a position to move forward.
Signs it is time to call
A covenant has been breached
Or will be at the next test date.
The bank has moved the account
To a special loans or business recovery group, or has requested an independent business review.
CRA remittances or supplier payments are being deferred
To make payroll or rent.
The operating line is fully drawn
And receivables are not turning.
The owner is funding the business personally
Through credit cards, personal lines or family loans.
Common questions.
Quick answers about restructuring & turnaround, based on current Canadian tax and accounting rules.
Will contacting an advisor alarm my bank?
Are you a licensed insolvency trustee?
How quickly can you start?
Get ahead of the situation
A confidential conversation now can open options that close quickly if left too long.
Related advisory services
Capital Advisory
Term loans, operating lines, equipment and real estate financing, CSBFL and BDC programs, acquisition and growth capital. We prepare the credit package, run a competitive lender process and negotiate the terms, acting only for the borrower.
Working Capital & Liquidity
13-week cash flow forecasting, receivables, inventory and payables discipline, and the operating changes that release cash already sitting in your business.
CFO Advisory
Senior finance leadership on a fractional basis: monthly reporting, budgeting, lender reporting and board-level analysis without a full-time hire.