To ensure access for viable economic entities in financial distress to preventive restructuring procedures, the harmonization of national laws and procedures regarding preventive restructuring, bankruptcy, and debt relief has become essential. In this context, the provisions of Directive (EU) 2019/1023 on restructuring and insolvency have been implemented into the domestic law of EU member states. Ukraine has also been part of these processes, having transposed the provisions of the aforementioned Directive into its national legislation.

Key elements of the Directive (EU) 2019/1023 on restructuring and insolvency include the delineation of a system of early warning tools.

The purpose of the article is to identify avenues for addressing the anticipated problems arising from the implementation of legal regulation regarding preventive restructuring procedures in national legislation, as well as one of the main grounds for timely access to restructuring through the use of early warning tools.

It has been established that an important question is whether the recent norms in bankruptcy legislation contain enough provisions that could help address the issues that may arise due to various economic difficulties faced by the debtor at an early stage.

 The author concludes that: the current global trends in the regulation of bankruptcy and insolvency relationships include the implementation of multifaceted options for preventing the bankruptcy (insolvency) of debtors; there is a positive European experience in the legal regulation of preventive restructuring procedures, particularly regarding systems of early warning for insolvency; and the lack of regulation in national legislation concerning early warning tools for insolvency will contribute to the emergence of problems related to timely access to preventive restructuring procedures.

The author examines the following: the provisions of Directive (EU) 2017/1132 that focus on the regulation of early warning tools for insolvency; the recent provisions that have been implemented into national bankruptcy legislation; and the directives from foreign legislation that establish effective and transparent system of early warning tools for insolvency and a balanced mechanism for their legal implementation.

Addressing the issues highlighted in this article is driven not only by the urgent need to find and determine pathways for the recovery of Ukraine’s economy but also by its transition into the sphere of global economic development and the aspiration of our country to become a full-fledged member of the European community, where bankruptcy (insolvency) legislation is one of the key components of both national and European legislation.

In the conclusions of the research conducted, the author emphasizes the urgent necessity to improve the regulation of early warning tools for insolvency and, accordingly, to expand the range of possibilities for addressing issues related to anticipated insolvency by leveraging positive foreign experience.

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