Key stats for creditors: ASIC’s ‘Review of small business restructuring process: 2022–24’
The Australian Securities & Investments Commission (ASIC) have released their ‘Review of small business restructuring process: 2022–24’. The review was designed to examine this insolvency regime to see if it is delivering on its objective to reduce the complexity and costs involved in insolvency processes to help small businesses to survive. Here Access Intell summarises the key statistics relevant to creditors.
Author: Danielle Green
Key Statistics:
- Significantly growing uptake: from 448 appointments in 2022–23 compared to 1,425 in 2023–24, with the number of appointments for 2024–25 anticipated to be around 3,000.
- Approval rate is declining: 79% in the first half of FY24-25 compared to 88% in FY22-23. Driven by an increase in plans being rejected by creditors.
- Plans are most commonly fulfilled: 92% of the 1,260 finalised SBR plans were fulfilled rather than terminated.
- Most companies who’ve fulfilled a plan remain registered: 93% where the plan was fulfilled by 31 March 2025 remained registered at the end of April 2025.
- $101 million paid to unsecured creditors: for finalised and fulfilled plans.
- Average dividend of 21 cents in the dollar: median was 20 cents in the dollar to unsecured creditors.
- Creditors were owed generally well below the $1 million threshold: $359,089 was the median value of admissible unsecured creditor claims, $427,593 was the average.
- Small number of creditors per SBR: a median of 2 creditors, an average of 4.2.
- ATO a key creditor: 93% of companies where the restructured plan was fulfilled had the ATO as a creditor.
- 87% of funds paid out went to the ATO: around 87% of funds distributed and categorised as unsecured creditor payments was paid to the ATO (approximately $88 million).
Want to learn more about small business restructure? Read our article A Creditors Guide To Small Business Restructuring which covers what this process is, how the ATO relates, what it means for creditors and how it affects PPSR.
Source: ASIC Review of small business restructuring process: 2022–24
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