Under the cold, clinical glow of his office lights, I received the call that set the next challenge into motion—a biotech firm couldn’t get another round of funding after the FDA approval failed, buried under a mountain of debt and regulatory scrutiny. The voice on the other end was Jerri, a friendly Venture Capitalist I’d...
When it comes to winding down your startup, understanding the associated costs is crucial for an orderly and compliant closure. The expenses can vary greatly depending on the method chosen – Bankruptcy, Assignment for the Benefit of Creditors (ABC), or a direct Wind-Down. Let’s dive into what these processes entail and the likely costs involved....
In the rollercoaster world of startups, encountering unforeseen challenges that threaten the company’s existence is not uncommon. When such crises loom, enlisting a Chief Restructuring Officer (CRO) becomes not just a choice but a necessity. However, the role of a CRO is multifaceted, varying significantly based on whether they’re tasked with a company turnaround or...
Embarking on the wind-down phase of a startup is a challenging moment. It’s a time when decisions made can significantly impact the final outcome for all stakeholders involved. Recognizing this, Ravix Group’s upcoming tool, A Guide to Interviewing and Hiring a Chief Restructuring Officer for a Wind-Down, is designed to assist founders in selecting the...
Lately, we’ve heard tales from our beloved Dr. Doom, a Chief Restructuring Officer who can help turnaround, or wind-down a startup depending on the circumstances. Here are 5 key takeaways from some of his lessons to avoid bankruptcy court: 1. Get Ahead of It: The Six-Month Runway Rule In the high-stakes game of startup survival,...
At Ravix Group, we understand shutting down your start-up can be confusing, challenging, disheartening, and emotional. Here are key terms to help you better understand a vernacular you hoped never to have to know: Assignment to the Benefit of Creditors (ABC): A state law insolvency proceeding wherein a company voluntarily transfers its assets to a...
