At McGill, Power, Bell & Associates, LLP our professionals have over 20 years of experience with bankruptcy cases and are thoroughly familiar with all of the demanding technical areas.

One of these is Tax Consultation. Special tax rules apply to the insolvent or bankrupt company. A tax accountant with experience in bankruptcy can assist to structure transactions to meet tax requirements.

Other matters also require specialized attention such as:

·         Asset transfers in satisfaction of debt,

·         Modification of debt agreements,

·         Conversion of debt to equity,

·         Corporate reorganizations,

·         Changes in ownership.

Accounting Consultation to attorneys in bankruptcy cases can take many forms:

• Pre petition planning to accumulate cash reserves,

• Communicating the Bankruptcy to employees, creditors, customers, and others,

• Preparing information for the Bankruptcy Petition and related forms and schedules,

• Preparing monthly operating reports required by the Court,

• Identifying, classifying, scheduling and reconciling claims,

• Identifying possible preferential transfers,

• Assisting in development of the Plan of Reorganization and Disclosure.
   

A very specialized application of formal business valuation occurs in bankruptcy cases. Calculating going concern value can assume particular importance in a bankruptcy situation, since the court is often faced with the decision to force liquidation or permit the company to work its way out of bankruptcy.

Another vital aspect of bankruptcy cases is an understanding of intangible assets. To some extent the value of intangible assets depends upon the causes of insolvency. Internal factors have less of a significant effect on value, because the hypothetical "willing buyer" can correct these. External factors have a more profound effect on value, because these are factors over which the "willing buyer" has no control.