Getting Ready for Furloughs, Financial Restructuring or Bankruptcy Requires Crisis Communications Pros

Getting Ready for Furloughs, Financial Restructuring or Bankruptcy Requires Crisis Communications Pros

According to the American Bankruptcy Institute, over 1,700 commercial businesses filed for Chapter 11 nationwide in just the past three months.

Business leaders across the nation are navigating unimaginable challenges. As businesses experience “shelter-in-place,” we all contemplate what comes next.

And just as importantly, how can we explain the pains we are undergoing during this time? Survival today may not mean growth. It may just be liquidity.

Staying liquid to wait out this economic storm requires an expertise that may not be in-house.

Bankruptcy and Financial Restructuring

For many companies, staying solvent requires restructuring. This can take place as easily as creating a new financial plan for right now – cutting expenses, reducing payroll, not paying rent.

But for many, a more formalized stating of a new business plan is needed. One that a court and creditors can accept.

Seeking counsel is the most important way to showcase your leadership. Set the agenda and ask for help. From employees, but also by seeking counsel from lawyers, financial advisors, and communications experts to determine possible options to lessen a company’s financial burden and provide some level of continuance.

Crisis Support

Whether you and your legal team are steering a firm in the direction of downsizing, restructuring or chapter 11, or worse, Chapter 7 for total liquidation, it is critical to consider partnering with a public relations firm that is expert in handling bankruptcy communications to help maintain the integrity of your brand and reputation.

This form of crisis communications planning and execution is necessary to keep investors, customers, employees, partners and media informed and engaged with your business.

A good bankruptcy communications plan will include developing a collaborative working relationship with the bankruptcy lawyers along with well-crafted key messages for spokespeople and media training executives and employees to communicate with confidence while sharing unfavorable news in order to position the organization for recovery and success.

At Bob Gold & Associates every plan is customized for you and your company. Once the plan is in place (and sometimes simultaneously) we execute a key message strategy to help you maintain and build quality relationships with all stakeholders through a variety of tactics — from news releases, internal and external communications, investor relations, social media and much more.

Work with those who have walked these mean streets before. We have worked with numerous clients and emerged with very positive outcomes against innumerous obstacles. And in every case – the humanity of the leadership, the caring of the customer and the value of the employee is always communicated.