Section 73 of the Bankruptcy Act allows a debtor to make a proposal to their creditors to satisfy their debts and end his or her bankruptcy. A Section 73 Proposal process involves the bankrupt proposing the trustee request a meeting of the creditors to discuss the Proposal.

After the necessary investigation into the benefits of the proposal, the trustee will issue a report and call the creditors to vote on the proposal and annul the bankruptcy. The creditors would expect to receive a larger payment as a result of the Section 73 Proposal than if they were to continue the already established bankruptcy agreement.

There are two forms of Section 73 Proposals:

A composition
Any amount to be paid via trustee over any time period

A scheme of arrangement
Can combine the payment of monies, sale of assets, third party payments or any combination of almost any lawful provision

Bankruptcy does not have to mean the end of the world for you or your business. Know what options are available to you with the help of Section 73 Bankruptcy. Section 73 Bankruptcy can help you understand what debt arrangements and agreements can contribute to a successful and beneficial Section 73 Proposal.

For more information on the range of insolvency advisory services offered by the professional team at Section 73 Bankruptcy, call today on 1300 60 70 60.