ABC – ASSIGNMENT FOR THE BENEFIT OF CREDITORS

An ABC with Stapleton Group as assignee may be the most prudent fiduciary action by a distressed company’s board of directors. ABCs involve assigning the business assets to an assignee who operates the company while selling it as a going-concern in a competitive process. An ABC can be faster and yield greater proceeds than a receivership, bankruptcy, or other out-of-court restructuring process.

Results

ABC of $50MM International Textile Recycler

As Assignee in the ABC of a $50MM international textile recycling company, Stapleton Group delivered a favorable outcome for the lender, recovering over $2 million through diligent, strategic actions.

ABC of Multi-Channel Retailer

As Assignee in the ABC of a multi-channel, direct-to-consumer retailer, Stapleton Group improved creditors’ recovery from zero to $2.5MM+ by designing and implementing the competitive sale of business assets and substantially reducing vendor claims.

Financial Advisor to Bank Regarding Insolvent Food Wholesaler

Stapleton Group helped achieve the 100% recovery of a bank’s $33.5 million loan to an insolvent national food wholesaler that had entered an ABC.