Corporate Restructuring

Restructuring is a type of business that companies resort to when there is a significant adjustment in debt, operations or corporate structure as a way to reduce or eliminate financial damage and improve business. When a company is having difficulty making payments on its debts, it often resorts to resetting the terms of the debt in restructuring the debt, creating a way to repay the bondholders. Or by restructuring its operations or financial structure by reducing costs, such as salaries, or reducing its size through the sale of assets.
It can take the form of restructuring the company internally, operations, departments or changing ownership, enabling the business to become more integrated and streamlined. Financial and legal advisors are often contracted to negotiate restructuring plans. Parts of the company may be sold to investors. The results may include changes in computer procedures, systems, networks, locations, and legal issues. Because positions may overlap, some jobs and employees may be eliminated.