Sherwood Partners and its principals have served as a court-appointed Receiver in many federal and state receivership matters. As Receiver, Sherwood’s primary focus is to maximize the enterprise value of a company while limiting disputes and legal fees. In a receivership, Sherwood takes a proactive role to improve company operations, monetize assets (as appropriate) and distribute proceeds to creditors.
Due to its many years of experience, Sherwood is well positioned to assist secured creditors in the steps necessary to effectuate a Receivership and take possession of a lender’s collateral. Sherwood simultaneously works with a management team and key employees to take the immediate steps required to protect asset value. Sherwood has initiated hundreds of distressed sales processes and is well positioned to maximize value in such settings.
|Quickly take possession of all or substantially all of the company assets, pursuant to an order of the Court or a security agreement;|
|Sell assets in the most beneficial manner in order to optimize proceeds;|
|Pay creditors based on priority status, with secured creditors leading the way;|
|Facilitate process and actions for secured creditors and limit potential issues of "controlling parties".|
|Allows company to overcome situations where owners are deadlocked over critical decisions or management is ineffective in the final stages of operation;|
|Removes doubts about facts and information concerning the business;|
|Installs controls and process for monetizing and collecting creditor proceeds.|
Sherwood Partners has been retained by many Chapter 7 trustees to represent them as financial and IP advisors in federal bankruptcy matters. Sherwood’s primary role in such engagements is to initiate a sale of a debtor’s assets, generally intellectual property (“IP”) in nature. Due to its deep roots in Silicon Valley, Sherwood has developed an expertise in the monetization of IP and has broad relationships with likely buyers of IP and technology.
In this role, Sherwood will work with the Trustee to market the assets, create an online data room of key information, set bid deadlines and the terms and conditions of the sale and seek court approval for the best offer. Sherwood has been able to balance the need for a timely sale process with the limited information and challenges that result from a company in Chapter 7 and has been able to obtain favorable results for many bankruptcy estates.