As debt payments approach renewal this year, companies of varying sizes are forecasting and looking at preparing future plans in the event refinancing or recapitalization doesn’t work out, says Marc Duchesne, a partner in Borden Ladner Gervais LLP’s Montréal office and the regional leader of the Firm’s Insolvency and Restructuring Group.

'This recession is different from others in the past and it will be a very different kind of recession,' says Duchesne. 'This is mainly a cash squeeze that is coming up because of the lack of liquidity in the market.'

'The key is good management of your finances and that means staying as liquid (holding onto and generating cash) as much as possible because who knows what is going to happen.'