What’s the difference between liquidation and administration?
The Quick Answer Liquidation tends to be used to close a business that has stopped trading or is about to stop trading where there is no live business to save. The business has no future. It is a cheaper process. The process of Administration tends to be used to: a) Sell an ongoing larger business […]
What is Partnership Administration?
The quick answer This is a Court order to protect a partnership from legal action. You need a Licensed Insolvency Practitioner like us to act as the Administrator. In more detail What are the purposes of Partnership Administration? The usual purpose of Administration is to achieve one of the following: a. The continuation of the […]
What are the new rules governing connected sales in pre-pack Administrations?
The quick answer New rules governing the connected sale in pre-pack Administrations come into force on the 30th April 2021. This will mean that a company must be in Administration for at least eight weeks before the substantial business and assets can be sold to a connected party. In more detail The new rules covered […]
What Is A Notice Of Intention To Appoint?
The quick answer This is where a company gives Notice Of Intention to appoint an Administrator and go into administration. The filing of the Notice creates a moratorium protecting the company (or a partnership). This can be very useful to give some short term breathing space. In more detail A notice of intention to appoint […]
How To Avoid Going Into Administrative Receivership
The quick answer One of the easiest ways to avoid Administrative Receivership is to pay back the bank debt that you owe. Alternatively, keep a dialogue going between you and the bank and try and convince them that it is better for you to keep trading. In more detail Administrative Receivership occurs where a bank […]
Can Administration Stop My Business From Entering Liquidation?
The quick answer Yes it can. Often administration (which is a Court order) is used to stop a liquidation process to give more time for a business to be saved or restructured. It can be used by limited companies and partnerships, but not sole traders. In more detail Administration is a very powerful tool and […]
Company Administration – How Does It Work?
The quick answer Company Administration means a company is protected by a Court order and is being managed or run by a Licensed Insolvency Practitioner who is called the Administrator. Administration usually lasts for a period of one year. However, in the first few weeks the business is usually traded and reduced in size, sold […]
How To Put A Company Into Administration
The quick answer The insolvency practitioner that you choose will help you to apply for an Administration order to protect your company or partnership. After the Court approves the application the administrator then takes control and the directors lose all of their powers. In more detail the role of the administrator In most cases you […]
Is Administration Right For My Business?
The quick answer Administration is a quick and effective way to protect a company or partnership and stops creditors taking action. You can get into Administration without the creditor’s or shareholder’s consent. This saves a lot of time. It can be the right solution for a business that can not trade out of its problems […]
What is TUPE?
The TUPE rules are designed to protect employees. If a company goes into Administration and business the sells all the employee rights for the continuing business transfer to the new owner.
