The Debt Survivor

Company Administrationis designed to protect companies from their creditors while a restructuring plan is developed. The type of creditor action that Company administration will stop includes:-

Bailiffs distraining on behalf of rating authorities

Landlords distraint for arrears of rent

Action by Revenue and Customs & Excise to enforce their debt

Following changes to legislation introduced in September 2003, the Company administration procedure is now streamlined which has resulted in reduced costs and better returns to creditors. An Administrator can be appointed by filing documents at court and with a few exceptions, the administration must be concluded within a year.

The purpose of the Company administration must achieve;

1) Business Rescue / Rescue of the company as a going concern or if that is not possible

2) Achieving a better realisation of the companys assets than in a Company liquidation

Only if the neither of the first two purpose are possible, can the administrator use the third purpose:-

3) Realising property in order to make a payment to the companys secured or preferential creditors

If you think that your Company can be saved via Administration, give me a call on 0800 533 5370 now to discuss it further.