Liability Insurance Australia :: News
SHARE

Share this news item!

20-Fold Increase in Small Business Restructurings to Sustain Operations

How SMEs Are Leveraging Restructuring to Navigate Financial Challenges

20-Fold Increase in Small Business Restructurings to Sustain Operations?w=400

The information on this website is general in nature and does not take into account your objectives, financial situation, or needs. Consider seeking personal advice from a licensed adviser before acting on any information.

The Australian Securities and Investments Commission (ASIC) has reported a significant uptick in small business restructurings (SBR), with 3,388 appointments between July 2022 and December 2024.
This marks an almost 20-fold increase compared to the previous period, indicating that more directors are embracing this regime to retain control while restructuring debt.

Of these appointments, 2,820 transitioned to small business restructuring plans, leading to over $101 million in dividends distributed to unsecured creditors. Notably, approximately 87% of these dividends, amounting to $88 million, were allocated to the Australian Taxation Office (ATO).

This surge reflects a growing awareness among SME owners of the benefits of formal restructuring processes. By engaging in SBR, businesses can negotiate with creditors, restructure debts, and implement strategies to return to profitability, all while maintaining operational control.

For small business owners facing financial difficulties, this trend underscores the importance of considering formal restructuring options. Engaging with professional advisors and understanding the available mechanisms can provide a pathway to navigate financial challenges and sustain business operations.

Published:Wednesday, 19th Nov 2025
Author: Paige Estritori

Please Note: We do not endorse any specific products or companies. Some content is sourced from third parties, including press releases, and may not be independently verified for accuracy or completeness.

Share this news item:

Rate this article

0 Comments

No comments yet. Be the first to share your thoughts.

Insurance News

Life Insurers Under Scrutiny for Rising Delays in Claim Payments
Life Insurers Under Scrutiny for Rising Delays in Claim Payments
14 Jun 2026: Paige Estritori
Recent findings from the Life Insurance Code Compliance Committee (Life CCC) have revealed a concerning 67% increase in violations related to delayed income protection and Total and Permanent Disability (TPD) claim payments by Australian life insurers. This surge in breaches has left many policyholders facing financial uncertainty during already challenging times. - read more
Addressing Australia's Life Insurance Underinsurance Crisis: Calls for Regulatory Change
Addressing Australia's Life Insurance Underinsurance Crisis: Calls for Regulatory Change
14 Jun 2026: Paige Estritori
Australia's life insurance industry is currently grappling with a significant underinsurance gap, described by industry leaders as a 'perfect storm' of challenges. This situation arises from a combination of social, economic, and regulatory factors that have led to decreased engagement with life insurance products, particularly among younger Australians. - read more
Australian Government Unveils $27 Million Drought Resilience Fund
Australian Government Unveils $27 Million Drought Resilience Fund
14 Jun 2026: Paige Estritori
In response to ongoing drought conditions affecting various regions, the Australian government has introduced a $27 million funding package designed to enhance the resilience of farmers and rural communities against future droughts and extreme weather events. This initiative underscores the government's commitment to supporting the agricultural sector in mitigating the impacts of climate variability. - read more
InsurABLE's New Model Aims to Revolutionize Drought Insurance for Farmers
InsurABLE's New Model Aims to Revolutionize Drought Insurance for Farmers
14 Jun 2026: Paige Estritori
InsurABLE, a company specializing in agricultural insurance solutions, has unveiled a groundbreaking model designed to offer Australian farmers financial protection against the adverse effects of drought. This initiative comes at a time when climate variability poses significant challenges to the agricultural sector. - read more
Rise in Farm Fatalities Linked to Side-by-Side Vehicle Accidents
Rise in Farm Fatalities Linked to Side-by-Side Vehicle Accidents
14 Jun 2026: Paige Estritori
Recent statistics have revealed a concerning increase in farm-related fatalities across Australia, with side-by-side vehicles (SSVs) emerging as the leading cause of these tragic incidents. This marks the first time SSVs have surpassed tractors and quad bikes in fatality statistics, underscoring the need for immediate attention to farm safety practices. - read more


Business Insurance Articles

Insurance Essentials: Protecting Your Small Business with Public Liability Coverage
Insurance Essentials: Protecting Your Small Business with Public Liability Coverage
Running a small business in Australia comes with its own set of challenges and risks. One crucial aspect that should never be overlooked is insurance, particularly public liability insurance. The reason is simple: it offers essential protection against claims of property damage or personal injury caused by your business operations. - read more
The Cost of Safety: How Much Public Liability Insurance Does Your Australian Business Need?
The Cost of Safety: How Much Public Liability Insurance Does Your Australian Business Need?
As a business operating in Australia, understanding the ins and outs of public liability insurance is not just recommended, it's essential. This type of insurance serves as a safeguard, protecting your business against the financial repercussions of lawsuits and claims arising from third-party injuries or property damage due to your business operations. In a world where one unintended mishap can lead to costly legal battles, public liability insurance stands as your first line of defense. - read more
Proven Strategies for Slashing Your Business Liability Insurance Costs
Proven Strategies for Slashing Your Business Liability Insurance Costs
Welcome to our comprehensive guide on public liability insurance, an essential safeguard for businesses across Australia. Navigating the complexities of liability insurance can be a daunting task for many business owners, but it’s a critical component of your business protection plan. If incidents such as accidents or property damage occur, liability insurance is the barrier that stands between your business and financial calamity. - read more
Reducing Your Risks: Public Liability Coverage Tips for Trade Professionals
Reducing Your Risks: Public Liability Coverage Tips for Trade Professionals
For tradesmen and trade professionals, venturing into the world of business comes with its set of challenges and risks. Among the myriad of precautions to consider, one critical safeguard stands out for its ability to protect both the tradesperson and their clients: Public Liability Insurance. This form of coverage is not just a safety net; it is a cornerstone of a responsible business practice within the trade industry. - read more
How Public Liability Insurance Can Save Your Business During a Crisis
How Public Liability Insurance Can Save Your Business During a Crisis
Public liability insurance is designed to protect your business from financial loss if you are found liable for causing injury or property damage to a third party. This type of insurance covers legal costs and any compensation claims that might arise from accidents or incidents involving your business operations. - read more


Start Here !

Start here!

Cover Amount:
Postcode:
All quotes are provided obligation-free by a participating broker from our national referral partner network. We respect your Privacy.

Knowledgebase
Term Life Insurance:
A type of life insurance policy that provides coverage for a specified period, such as 10 or 20 years.