In more detail
Insolvency is split into company insolvency (sometimes called corporate insolvency) and personal insolvency.
Company
A company insolvency can be a liquidation, Administration or a Company Voluntary Arrangement (“CVA”).
A liquidation and Administration typically last for one year but can go on for longer if assets still need to be realised or creditor claims agreed.
A Company Voluntary Arrangement can last from one year to five years.
Personal
A bankruptcy usually lasts for one year maximum but can be extended.
The Trustee may be appointed for longer than the bankruptcy period to allow time to realise assets such as a former family home.
An Individual Voluntary Arrangement (“IVA”) last from usually one year to a maximum of five but can be extended further to realise assets.
