Traditionally, there’s a stigma attached to Bankruptcy, but it’s very old-fashioned because the Enterprise Act 2002 introduced a rescue culture to British business that softened Bankruptcy regulations and encouraged entrepreneurialism. If this is an option you would like to discuss call us on 020 7504 1300
In accordance with Schedule B1 of the Insolvency Act 2012, Administration is a procedure that functions as a rescue mechanism for asset-rich, but insolvent companies.
Company Administration is usually a precursor or alternative to Liquidation, and allows a business to be rescued as a going concern; sold as whole; or offloaded in parts to realise revenue for creditors.
Commercial Debt Recovery takes place when a third party works on behalf of a supplier/creditor to collect outstanding amounts from a buyer/debtor. Debt litigation is often expensive and protracted, and a creditor’s efforts can be easily undermined or derailed by a debtor claiming to have a dispute.
The process of a Compulsory Liquidation starts when a Winding Up Petition is filed in court, usually by an unpaid creditor who claims the company is insolvent. If a judge agrees to make the order, the case will be sent to the Official Receiver (OR), a court official employed by the government’s Insolvency Service.
In accordance with Part 1 of the Insolvency Act 1986, a Company Voluntary Arrangement (CVA) is a formal contract between an insolvent company and its creditors that allows the company to continue trading while repaying creditors, usually over a period of 3 to 5 years. Call us on 020 7504 1300
Are you or your business facing challenges with tax debts?
If you’re still reading, you probably have an unresolved problem with Her Majesty’s Revenue and Customs (HMRC), or owe them an outstanding debt and have received warning letters, a Statutory Demand, a Bankruptcy Petition, or a Winding Up Petition.
If you need assistance concerning tax problems or more time to rearrange your finances; contact I&L today for free and confidential advice. Please contact us now on 020 7504 1300
A Winding Up Petition is a court order that forces an insolvent company into Compulsory Liquidation.
Although a petition should never be abused as an instrument of debt recovery, it can be issued against insolvent companies, customers, and or debtors who are unable to pay debts when they’re due. Call us now 020 7504 1300
Litigation Funding takes place when a third party finances a court claim for commercial gain. Generally, there are 3 ways a claimant with a strong case but no money can pursue a claim, and secure the services of a lawyer: a Conditional Fee Agreement (CFA), a Damage-Based Agreement (DBA), and Litigation Funding.
Misfeasance is far worse than simple maladministration because it means a director has been dishonest and engaged in bad behavior, wrongdoing, or some form of misconduct that’s brought financial loss to creditors. Call us now for free and impartial advice on 020 7504 1300