Corporate Insolvency

An administrator acts as an officer of the Court in dealing with the company’s affairs. The Administrator will usually take steps to sell the business and assets of the company as a going concern.

Administrative receivers are appointed by secured creditors with a view to realising the assets of the company in order to repay the sums owed to the secured creditor.

A CVA is a legally binding agreement between a company and it’s creditors to allow for all or a percentage of its debts to be paid back over time.

A company can be wound up through the Court upon the hearing of a petition by one or more of its creditors or contributories.

A Creditors Voluntary Liquidation is instigated by the company directors, having concluded that the company is insolvent and unable to continue its business.

An MVL is the liquidation of a company that is solvent, which means that it has sufficient assets to settle its liabilities in full plus statutory interest.