A new company asks you to continue the same project after administration

The site looks the same but the customer may have changed

A hypothetical subcontractor working on a project in administration is told that a new operator will take over. The same site staff ask the crew to continue, using familiar branding. Before committing further resources, identify who is ordering the next work and under which arrangement. Continuity on site does not establish continuity of the legal customer or payment obligation.

Obtain the transition information from a verified source

Ask the administrator's office and the proposed new customer to clarify the relevant change and its timing. Keep the written information and independently verify contact details. Do not infer a completed transfer from a rumour or an unsigned announcement. If the arrangements are still proposed, record them as proposed rather than changing the customer in the ledger immediately.

Confirm which ordering process applies

ASIC advises suppliers during administration to obtain orders authorised as the administrator specifies. Ask whether that process still applies to the particular future supply or whether a new customer will contract separately. Do not assume an earlier administrator order authorises a different entity's work. Obtain legal advice where existing contractual obligations or transition terms are unclear.

Source: ASIC: Voluntary administration, a guide for creditors

Keep old debts separate from the new arrangement

In the hypothetical example, a new operator may want fresh work without having agreed to pay earlier invoices. Ask what, if anything, has actually been agreed about those balances and have the documents reviewed. Do not treat the same project name as evidence that the new company assumed the debt. Avoid transferring receivables between entities without an appropriate basis and accounting advice.

Check the practical terms before continuing

Identify the new scope, price, payment terms, authorised contact and any required credit assessment. Confirm how equipment and materials already on site will be dealt with through appropriate advice and permissions. Do not remove or reallocate property based solely on the announcement. The transition may affect several arrangements that need separate confirmation.

Brief the crew and accounts team consistently

Provide the verified order and entity details to everyone recording work or issuing invoices. Retain the transition documents with the project file. CRP can help organise the commercial history for review. A clear new customer arrangement lets the business assess future work without allowing the familiar site setting to blur responsibility for either new supply or old debt.