The proposal of debt reconstruction in Quebec allows you to offer to reduce the amount of your debts, to prolong the delay of reimburse or to combine the two to your creditors. This allows you to resume activities during your reorganization. This is usually preceded by a notice of intention that shields you from the actions of creditors.

A proposal of debt reconstruction gives you time while you prepare your offer.

• Based on your capability to pay
• To protect you against all seizures
• To allow you to conserve all of your business possessions and to continue its operations
• Suspend creditor appeals and avoid all procedures (with exception)
• Can free administrators of their statutory responsibilities for unpaid government creditors (GST and HST)
• Under certain conditions, allow the annulment of a commercial lease
• Allow you to resolve or to stop, under certain conditions, certain contracts (amendment 2009 of the law)

If your business does not honor its obligations to make payments and your liabilities surpass your assets, the debt-reconstructing proposal may be a good option for you. Via a reconstruction plan and financial reconstruction, your business may become profitable again.