Youtube daily report Mar 7 2017

Of course insolvency is a situation

business do not want to be in.

But the reality in business is that 200,000

businesses are insolvent a year and we need

procedures to make sure that we separate

the bad apples from the good apples.

Today is talking about preventive

restructuring and second chance for

debtors within Europe.

For a long time

the restructuring recovery rates for

businesses has been varied across Europe

and the european commission today is

talking about how to make sure that the

policy across Europe is unified and

businesses are saved

instead of being liquidated.

Well I think

we've been talking about insolvency reform

for many years, probably more than 15

years in Europe and I don't think too much

progress has been made but I'm very confident

that now people are talking about it and

there is going to be a concerted effort

to have some form of insolvency reform.

The proposal is seen as an important

development to the Maltese presidency.

We are still at the early stages

however, the objectives of the proposal

are welcomed by member states.

And i hope that this is a good start to go further

because there is still work to do

besides the law and the directives

you have also the personal emotional

side of the entrepreneurs.

Across Europe debtors can sometimes go bankrupt and

that can be the end of their financial

life and the european commission's

directive enables honest debtors

a second chance.

The new proposal of the Commission on

restructuring and the second chance for

small and medium-sized companies will

really help the SMEs.

All companies will benefit

but SMEs, small companies as they

have a lack of resources and they

struggle most when they are faced with

the first severe complications and

problems they will be

benefitting most from these

procedures and from this proposal.

Also after a bankrupcy there is still

the stigma of the bankruptcy and if you

look at, also, at some surveys that

forty-seven percent of Europeans are

reluctant to buy from a person that

previously went bankrupt and we see that

there is still a lot to do concerning awareness.

We have taken a close look at the

European Commission proposals and

overall, we believe it's a positive

development because there is

attention to not only preventive

measures and restructuring after things

have gone sour and not only on business

insolvency or, you know, liquidation

kind of negative matters only.