QHA_August-2021-Digital

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NEWS RESTRUCTURING RULES QHA REVIEW | 8 As small businesses around the country struggle to stay afloat in the wake of the constant challenges presented by COVID-19 shutdowns and social distancing rules, chartered accountants BDO Australia have reported a slow uptake of new processes aimed at making restructuring or exiting businesses simpler. The Australian Tax Office website states that changes put in place by the Australian Government from 1 January 2021 were aimed at making changes to the country’s insolvency framework to help more small businesses restructure and survive the economic impact of COVID-19. Where restructuring is not possible, businesses will be able to wind up faster, enabling greater returns for creditors and employees. Two new processes are available for small businesses from 1 January 2021: are a simplified liquidation framework and a small business (SB) restructuring plan. Writing for the Australian Institute of Company Director’s website BDO’s National Leader Business Restructuring Andrew Fielding said take up of restructuring for small businesses provided by the legislation has been slow, but this may change now JobKeeper assistance has come to an end. “The small business restructure reform is intended to provide a path back to solvency for companies impacted by the global pandemic,” Andrew said. “Key elements of the legislation include a new debt restructuring process for eligible small businesses. “This regime, supervised by a Small Business Restructuring Practitioner (SBRP), enables financially distressed companies to restructure their existing debts by proposing a restructuring plan to creditors within 20 business days. “During the restructuring period, the director will remain in control of the company, and capable of both entering into transactions and dealing with company assets - in the ordinary course of the company’s business. “The SBRP will have to grant permission for any transactions or sale of assets outside of the ordinary course of the company’s business.” To access the Small Business Restructuring process, companies must satisfy a number of criteria including not having liabilities in excess of $1 million, having all employee liabilities up to date, and ATO tax lodgements up to date. For those companies that are eligible to access the restructuring program the Board will have resolved that it has reasonable grounds for believing the business is trading insolvent, or likely to become insolvent. At this point they are able to appoint a Small Business Restructuring Practioner (SBRP). “The SBRP acts as an agent for the company in respect to the restructuring process, preparing a declaration in relation to the restructuring plan, administering the plan, and resolving disagreements relating to a creditor’s admissible debts or claims.” Andrew said. “The SBRP also manages the distribution to creditors under the restructuring plan. “While the latest legislation created a special class of SBRPs, which are qualified only for the newest restructuring processes, it is advisable to retain the services of a fully qualified insolvency practitioner who can provide advice on all available options, whether that is restructuring, liquidation or another option.” Writing in April Andrew reported that in the three months prior only 19 companies had declared with ASIC they were eligible to access the Small Business Restructuring regime, with less than 10 having progressed to appointing an SBRP. “It is expected this slow take up is in part due to the tight liability cap set on eligibility,” Andrew said. “Companies with more than $1 million in liabilities simply are not eligible to access this regime.” “Directors continue to control and trade the business during the restructure. “This differs from other insolvency appointments where the external administrator takes control, and provides reassurance and comfort to suppliers that ongoing trade expenses will be met. “Directors need to carefully consider the impact entering restructuring has on secured creditors, any overdraft facilities and key suppliers. Businesses that rely on credit may find these terms restructured or
NEWS Nick Bainbrigge GAMING ARISTOCRAT GROWS STANDALONE OFFER cancelled. Key stakeholder considerations must be addressed, including how future trade will continue and be funded and ongoing financier and supplier support.” Andrew listed a range of practical obstacles to restructuring that may have had an affect on the lack of uptake of the new rules including: Limited access to credit Credit extended by banks or finance companies may be withdrawn once a business announces it has entered restructuring. Limited access to payment acceptance options Banks may suspend merchant accounts, making it impossible to accept credit card payments (to limit the bank’s risk of chargebacks.) Impacted trading accounts Suppliers may withdraw support, or demand COD arrangements. Staff turnover Once restructuring is announced, employees may become concerned about job security. Staff may leave, triggering payouts of employee entitlements. Secured creditors and third party rights While the company is preparing their restructuring plan, they are protected from third parties enforcing their security (some exceptions apply). It is vital companies consider and consult with their financier/ lessors as to how their security will be dealt with. Secured parties are not bound by the restructuring plan, unless they choose to be, and after the plan is voted upon, will be free to enforce/sell or otherwise deal with their security interest. In terms of priorities for any business in distress Andrew said the most important thing was to act early and seek professional advice from a restructuring professional. Article originally published on AICD: https://aicd. companydirectors.com.au/membership/membershipupdate/directors-slow-to-file-for-small-business-insolvencyunder-latest-reforms Our Standalone Progressive (SAP) portfolio continues to grow through our increased investment in D&D which focuses on providing our customers the best products that caters to a range of player types. Since we unfortunately won’t have the opportunity to connect with you this year at the Australasian Gaming Expo (AGE), our dedicated team is ready and available to demonstrate and present our latest products in our Brisbane showroom or virtually. I thought I’d give take this opportunity to provide you with a sneak peek at the exciting new titles coming soon to Queensland Hotels. Are you ready for ultra-entertainment? Coming soon to our SAP portfolio is Ultra Charge, a new and exciting family with two fierce themes launching in Queensland Hotels later this month. Derived and improved from successful US titles, Ultra Charge Phoenix Storm and Lion Rush improves on the classic Hold & Spin feature for a never seen before boost to the segment. The innovative Ultra Charge Hold & Spin feature offers players the opportunity to increase the value of their Cash on Reels symbol’s once already won!! Launching on the premium MarsX and Helix X hardware, Ultra Charge includes player selectable denomination, 3 level SAP and scalable bonuses. Building upon the strength in our SAP portfolio, another exciting family BRINGING BACK THE BASE is Big Blast. Big Blast was created with an all-new base game mechanic to keep the experience in the base. With the addition of a brand-new jackpot feature, players now have the chance to win several jackpots and/or bonuses in the same feature! Players will enjoy the rapid hitting features, choice in denomination and the excitement of a 2 level SAP with scalable bonuses making it a standout on your venue floor. With Big Blast expected to blast off the performance charts, it can support your fleet of Aristocrat cabinets including MarsX, Helix X, Helix+ and Helix. For more information on Ultra Charge or Big Blast or to book a showroom tour, please reach out to your Aristocrat Business Partner or visit our website on https://www.aristocrat.com/anz/ QHA REVIEW | 9
Page 1 and 2: q u e e n s l a n d h o T E L S a s
Page 3 and 4: QHA Vice President, Matt Coorey, an
Page 5 and 6: DAMIAN STEELE QHA Industry Engageme
Page 7: NEWS CASH IN AT NEW ATM Queensland
Page 11 and 12: LATEST & GREATEST EMERGING VARIETY
Page 13 and 14: LATEST & GREATEST THE 10 BEST WINES
Page 15 and 16: FEATURE
Page 18: QHA REVIEW | 18 THE RESORT ITSELF I
Page 21 and 22: “We, since early childhood, have
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Page 26 and 27: FOCUS
Page 28: FOCUS QHA REVIEW | 28 When it comes
Page 31 and 32: FOCUS For Burpengary Tavern’s own
Page 33 and 34: Curt Schatz LEGAL MATTERS INDUSTRY
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Page 39 and 40: venture across Q land empty TUCKER
Page 41 and 42: Judy Hill ACCOMMODATION UPDATE HELP
Page 43 and 44: Wesley Davey EMPLOYMENT RELATIONS
Page 45 and 46: Damian Steele INDUSTRY ENGAGEMENT `
Page 47 and 48: Big screens for big crowds. From bi
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Page 53 and 54: TOP DROP SUPERNOVA IPA Brick Lane A
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