A business rescue practitioner is a person appointed, or two or more persons jointly appointed, to oversee a company during business rescue.
Business Rescue: How do I apply for a license as a Business Rescue Practitioner
A person may be appointed as a business rescue practitioner of a company only if he or she is a member in good standing of a legal, accounting or business management profession.
A conditional license as a practioner may be issued to a person who has been nominated by a company that is financially distressed.
Application for a license can be done online via CIPC’s website.
What qualification do you need to be a business rescue practitioner?
In terms of Section 138(1) (chapter 6) of the Companies Act 71 , a person who is a member in good standing of a Recognized Controlling Body (RCB) with CIPC may be appointed as a Business Rescue Practitioner, provided that the person has a qualification in law, accounting or business management.
Who can be a business rescue practitioner?
A person may be appointed as a business rescue practitioner of a company only if he or she is a member in good standing of a legal, accounting or business management profession. A conditional license as a practioner may be issued to a person who has been nominated by a company that is financially distressed.
How much do business rescue practitioners make in South Africa?
The current basic remuneration of a business rescue practitioner, as contemplated in section143 of the Act is: R1 250 per hour, to a maximum of R 15 625 per day, (inclusive of VAT) in the case of a small company. R1 500 per hour, to a maximum of R 18 750 per day, (inclusive of VAT) in the case of a medium company;
What is the role of a business rescue practitioner?
A business rescue practitioner (BRP) is appointed to oversee a company during business rescue proceedings; his role is largely supervisory and he is subject to the duties of a director of the company, with extensive powers over the pre-existing management.
How does business rescue affect employees?
Under certain circumstances, the company under business rescue might reach a stage where it is unable to pay its employees. If this happens, these employees will be regarded as creditors of the company and will have claims against the company.