Provided backing when encountering company failure (6)
I believe the answer is:
fiasco
'failure' is the definition.
(a fiasco is a failure or disaster)
'provided backing when encountering company' is the wordplay.
'provided' becomes 'if' (eg 'provided it's sunny' means 'if it's sunny').
'backing' is a reversal indicator.
'when' becomes 'as' (eg 'when I walked' means 'as I walked').
'encountering' means one lot of letters go next to another.
'company' becomes 'co' (abbreviation).
'if' in reverse letter order is 'fi'.
'fi'+'as'+'co'='FIASCO'
(Other definitions for fiasco that I've seen before include "Utter and ridiculous failure" , "Abject failure" , "Embarrassing failure" , "Ignominious failure" , "An utter mess or cock-up" .)