Corporate Restructuring

When It's Time for a Change

Declining revenue, a widening cash gap, a lender losing patience, a leadership team out of good options. However a company arrives at the need for restructuring, the goal is the same: get back on track, and get there right the first time. At Sherwood, corporate restructuring means hands-on, operational involvement, not a slide deck and a set of recommendations handed back to a management team already stretched thin.

Signs a Restructuring Is Overdue

Restructuring works best when it starts before a company runs out of options. Common warning signs we see before an engagement begins:

• Cash flow shortfalls that require frequent short-term fixes to make payroll or pay suppliers
• Missed or late loan payments, or a lender requesting more frequent reporting and oversight
• Declining revenue or margin over multiple quarters with no clear operational cause identified
• Rising debt burden relative to the business's actual earning power
• Extended payment terms with vendors becoming the norm rather than the exception
• A board or ownership group that has grown divided on what to do next

How Sherwood Approaches Corporate Restructuring

Every situation is different, but the work generally spans four areas, often at the same time:

• Interim Leadership: Stepping in as Chief Restructuring Officer, CFO, or COO to run the business through the critical period, not just advise from the sidelines.
• Creditor and Lender Negotiation: Representing the company directly with lenders, bondholders, and suppliers to secure forbearance, restructure terms, or extend runway.
• Operational Realignment: Cutting to what's working, reworking cost structure, and rebuilding a cash flow forecast the business can actually hit.
• Financial Restructuring: Rebuilding the capital structure, whether that means refinancing, a negotiated debt settlement, or preparing the business for a sale process.

In Court or Out, We Adapt the Plan to the Business

Most restructurings are resolved out of court, through direct negotiation with lenders and creditors, because it is faster and preserves more value than a formal proceeding. But not every situation can be solved that way. Sherwood's restructuring work connects directly to the rest of what we do: if a negotiated out-of-court plan isn't enough, we already have the experience to guide a company through a Managed Liquidation, an Assignment for the Benefit of Creditors, or a formal receivership without bringing in a new advisor to relearn the business from scratch.