There are five forms of insolvency procedures for companies in the UK . These are:
- Company Voluntary Arrangement (CVA)
- Administrative Receivership
- Creditors' Voluntary Liquidation (CVL)
- Compulsory Liquidation (WUC)
The first three procedures are seen as tools that can be used to assist a business rescue or turnaround. Liquidation is a terminal process for the company which leads to the cessation of trade of the business.
There is also a Members' Voluntary Liquidation (MVL). However, this applies to solvent companies which, by definition, can pay their debts in full with interest.
For further advice and assistance regarding any aspect of the above insolvency procedures, please contact BRI. We will discuss, free of charge and with no obligation, any further implications and alternatives with you.