Restructurings in Switzerland

Abstract

In case of half capital loss, the company is obliged to determine and implement restructuring measures. In practice, quick accounting measures are applied, and companies try to gain time with the hope to avoid legal consequences. The significance of negative reports is played down and this false optimism can have disastrous effects. Especially in smaller circumstances, where there is no auditor to draw the attention of the board of directors to the necessity, the restructuring measures are taken too late.