By Francesco Todaro, Of Counsel – Special Situations, Bacciardi Partners.
Every crisis begins with a signal.
An order that does not arrive.
A bank requesting additional guarantees.
A tightening cash flow.
For too long, many companies wait. They think: “It is not a crisis yet.”
The data tell a different story.
According to Il Sole 24 Ore, in 2024 (data updated as of June and projected on an annual basis), 952 companies initiated a Negotiated Settlement of Crisis procedure, representing an increase of approximately +60% compared to 2023. This means that an increasing number of entrepreneurs choose to act early, when difficulties are still manageable and before the company’s balance has been irreversibly compromised.
What is the Negotiated Settlement of Crisis (CNC)
The Negotiated Settlement of Crisis is a tool introduced by the Italian Code of Business Crisis and Insolvency to allow entrepreneurs to address a temporary phase of financial distress before it turns into insolvency.
It enables a structured dialogue with banks and creditors while the entrepreneur retains control of the business, supported by an independent expert.
It is neither bankruptcy nor a traditional insolvency proceeding.
An article available on the Bacciardi Partners website explains clearly what the Negotiated Settlement is, how it works, and when activating it makes strategic sense.
Who is using the Negotiated Settlement today
The figures show that the CNC is no longer used only by small marginal businesses. Increasingly, structured companies adopt it as a preventive management tool:
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Average production value: approximately €32 million
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Average number of employees: approximately 66
In 2021, these figures were approximately €4 million and 46 employees.
The data are significant: today the Negotiated Settlement is also used by medium-sized companies with complex organizational and financial structures.
A figure that must be interpreted correctly
Between 2021 and 2024, out of 1,608 applications for Negotiated Settlement:
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915 procedures have already been concluded
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167 achieved a positive outcome
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748 ended with a negative outcome
The success rate in 2024 stands at approximately 18.1%.
This figure does not mean that the instrument does not work.
It shows that the Negotiated Settlement is not automatic.
It requires analysis, preparation, and timely decisions.
It is a process that must be actively managed, not merely initiated.
Why these data matter for entrepreneurs
A crisis rarely arrives suddenly.
It is often the result of signals that, if identified early, can be managed effectively.
The data show that an increasing number of companies use tools such as the Negotiated Settlement to address difficulties before they become irreversible, strengthening dialogue with banks, suppliers, and commercial partners.
If you are an entrepreneur and wish to assess promptly how to manage a critical phase of your business, contact us to arrange a preliminary, no-obligation meeting.