Email David Kirk direct by clicking on his name.

Close this search box.

When To Apply For A Company Voluntary Arrangement

Last updated: September 29, 2021

The quick answer

You should apply for a Company Voluntary Arrangement (“CVA”) as soon as possible if you realise the company has a viable future but has had historical financial problems that have now been solved. The reason is that the longer you leave it, the more likely creditors will take action to force the company into liquidation.

In more detail

If you do not know whether a CVA is a good idea for your business it is best to talk to a Licensed Insolvency Practitioner like us. We can ask you the right questions to find out what the right options are for you. The circumstances that usually make a CVA the right decision are:

  • You have had some problems in the past but these are solved. Some examples would be a pension shortfall claim or you have closed some unprofitable branches.
  • You can predict that going forward you can make a profit.
  • You have the support from some of your main creditors and that should continue.
  • You may have some company assets, trading name, brand or certifications that you need to continue within your company name.

A CVA is not as fast a rescue process as an Administration. A CVA  can take four to six weeks to put together.

The company has to make a written proposal to creditors which includes forecasts and cash flows. It also includes a company history, balance sheet and good reasons to creditors why a CVA is fair to them and you.


If you need insolvency advice the earlier you talk to someone like us the better as you will have more options. We can help, contact us today.

More questions in this section

Author: David Kirk - ACA FABRP
Everything you need can be done online.
No need to meet anyone in person.
We cover all of England and Wales.
Just a quick email to say a heartfelt thank you for your very calm, considered, expert advice regarding my circumstances on Tuesday. Things looked bleak before you explained my options much more clearly, in simple layman’s terms.
Rob Elliott (14th December 2021)



Sign up to our newsletter

Request a callback

Simply fill out the short form below and I will get back to you.

David Kirk Portrait

David Kirk

Licensed Insolvency Practitioner