From www.aicd.com.au: Australia’s insolvency landscape has seen a rise in appointments, reaching over 11,000 in FY24 and projected to exceed 15,000 in FY25, particularly affecting the construction, accommodation, food services, and retail sectors.

ASIC updated its Regulatory Guide 217, emphasising directors’ duties to prevent insolvent trading, including monitoring solvency and seeking professional advice, as well as providing guidance on the insolvency safe harbour.

The Small Business Restructuring regime, initiated in 2021, has gained traction, with over 2,000 appointments expected in FY25, allowing director-controlled restructuring for businesses with liabilities under $1 million while protecting them from personal liability during the process.