Business Recovery and Insolvency

A company’s directors or shareholders may appoint us to assist them to rescue their business. If a business can be saved or sold, we will work with management towards this aim. If a situation is terminal, we will take on the difficult task of closing down the business in an orderly fashion.Sometimes a creditor, such as a trade supplier or landlord, may appoint us to deal with a business where it is unable to pay its debts. We will offer to work with management to deal with the problems facing the business and to maximise the return to creditors.

Company Voluntary Agreement (“CVA”)

A rescue procedure used when the underlying business is profitable (possibly after using a Turnaround plan), but it has suffered some setbacks in the past such as a large bad debt or the loss of a major contract. The management remain in control of the business, while existing debts are “frozen” and dealt with through the CVA by the company making regular payments from profits or a one-off payment from the sale or refinance of an asset, such as a property.

Administration

A rescue procedure used when a business can either trade for a short period to complete orders, or when all or part of the business can be sold (possibly back to the current management or owners). Administration protects the company from action by creditors such as finance companies repossessing equipment and landlords terminating a lease.

Liquidation

When all options have been explored and the business needs to be closed. In managing the closure process, we will assist employees with their redundancy claims, arrange for the sale of the company’s assets and pay the proceeds to creditors. Employees’ wages and holiday pay are paid first, then the Bank (if it holds security over the company’s assets), and then finally everybody else (including the taxman) will receive any balance.

Our team also has experience in dealing with the more unusual corporate entities, such as companies limited by guarantee, unlimited companies, and charities.

Please contact us on the freephone number above to discuss your company’s situation.