ABASA and TMA-SA
Comparison between ABASA and TMA-SA
Should you become a member of ABASA or or Turnaround Management Association - Southern Africa or both?
ABASA
ABASA (Association of Business Administrators of South Africa) is an industry-proposed regulatory body for business administrators in terms of new business rescue legislation.
Become a (future) member if you wish to act as a supervisor of a company that has entered business rescue proceedings.
Please note that member registration will be invited only once government approval has been obtained to act as a regulatory body.
TMA-SA
Turnaround Management Association - Southern Africa (TMA-SA) is a voluntary industry trade association open to all interested in turnaround.
Become a member if you are a service provider or capital provider to underperforming or distressed companies.
To register, please go to Registration and profile change.
Comparison
ABASA, as an industry regulatory association, and TMA-SA, as an industry trade association, are not in competition. Instead, they exist in a symbiotic relationship.
TMA-SA will support ABASA by promoting new business rescue legislation and the regulation thereof. TMA-SA will encourage its members who wish to become supervisors to join ABASA too.
As indicated by the ABASA interim executive, the TMA's Certified Turnaround Practitioner Professional exam could very well serve as the eventual admission exam to ABASA.
It stands to reason that ABASA members will, in turn, make use of TMA service and capital providers to effect business rescue.
ABASA/TMA and the timeline of financial distress
ABASA operates in the 3rd stage (business rescue) of the timeline of financial distress while TMA-SA operates in the first 3 stages (management correction, informal creditor workout and business rescue) of the four stages. The 4th stage is liquidation.
Click on the thumbnail for a popup enlarged view of industry associations and the timeline of financial distress diagram.
Click on Timeline of financial distress table for a popup table explaining the four stages.
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ABASA/TMA-SA and the timeline of financial distress |
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Management-led correction |
Informal creditor workout |
Business rescue |
Liquidation |
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ABASA |
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ABASA is a regulatory body for formal business rescue within the legislative framework as envisaged by new business rescue legislation. ABASA membership is required to be appointed as a supervisor. Admission criteria are to be based on experience and qualification during an interim period, thereafter based on having passed an exam. The earmarked exam is the South African customised Certified Turnaround Professional exam of the ACTP. |
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TMA-SA |
TMA-SA members represent disciplines that:
across all the stages of corporate decline - from emerging problems to acute and worsening problems to insolvency. Turnaround managers
Service providers to troubled companies, and their financiers
Investors in and lenders to troubled companies
Other members
Turnaround professionals can become certified by passing the ACTP (Association of Certified Turnaround Practitioners) exam, and complying to requirements regarding experience, references and ongoing education. |
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