Division I Proposals, also known as a Commercial Proposal, is available to businesses in Canada that are experiencing financial difficulties. It is a compromise between the debtor and their creditors that, if approved by the creditors and the Court, becomes legally binding. There is no limit with respect to how much money is owed.
You can make a Division I Proposal to your creditors to reduce the amount of your debts, extend the amount of time you have to pay off the debt, or provide a combination of both. If a company is viable but experiencing difficulties due to any number of reasons, it is possible to restore its financial well being through a Proposal. Through the filing of a Proposal a company has an ability to save their business,preserve jobs, give creditors the best return, and enable the owners to maintain their interest in the business.
The advantages of a Division I Proposal are that all actions against you by your unsecured creditors are stopped, you get to keep all your assets, and you can solve your financial problems without filing bankruptcy.
If your business financial situation is spiraling out of control, you are not alone. Crowe Soberman Inc. has helped others in your situation, and we can help you too.