Blogs

What's the Difference Between CVA and Administration in Business? When businesses face financial difficulties, two primary restructuring mechanisms stand out as potential lifelines: Company Voluntary Arrangements (CVAs) and administration. These processes serve fundamentally different purposes in business restructuring, each offering distinct advantages depending on the company's circumstances and strategic objectives. Administration involves the appointment of […]

The difference between bankruptcy and liquidation lies in their distinct purposes: bankruptcy addresses individual financial distress through debt restructuring or discharge, whilst liquidation involves the dissolution of a company through asset sales to repay obligations. Bankruptcy allows individuals to retain some personal assets, whereas liquidation results in the end of a business's existence. Liquidation prioritises […]

In the UK, bankruptcy appears on a person's credit report for six years from the date the bankruptcy order is made. This duration considerably impacts one's financial credibility, with bankruptcy serving as a marker of high financial risk to creditors. During these six years, individuals may experience challenges in securing new credit and face higher […]

Personal bankruptcy in England and Wales is a legal mechanism designed to help individuals overwhelmed by debt under the Insolvency Act 1986. For those asking what personal bankruptcy entails, it involves declaring insolvency and having an Official Receiver or licensed insolvency practitioner appointed to manage one's financial affairs, which may include realising assets to repay […]

Filing for bankruptcy through the Insolvency Service involves a comprehensive legal framework designed to discharge unmanageable debts. The procedure begins by submitting an application cataloguing debts and assets, followed by an approval process that notifies creditors. Whilst it can halt creditor actions and provide relief, it also impacts creditworthiness for up to six years and […]

Many stakeholders often wonder how long a winding-up order takes to process, as it typically requires 8 to 10 weeks from the initial filing of the petition to the court hearing. The timeline can vary based on the complexity of the company's financial structure and any legal challenges presented. The process begins with a High […]

Cash flow management represents one of the most critical aspects of running a successful business in the United Kingdom. Whilst many entrepreneurs focus primarily on generating revenue and achieving profitability, the ability to maintain positive cash flow often determines whether a business survives its early years or thrives in the long term. Understanding how to […]

Dissolving a company with debt under UK law is legally complex and requires strict adherence to statutory obligations under the Insolvency Act 1986 and Companies Act 2006. The involvement of a licensed insolvency practitioner is often necessary to ensure creditors are repaid under UK statutory order of priority, and directors' liabilities are minimised under UK […]

Your business might not always continue forever. Sometimes, you decide to close it when goals are met or the market changes. That is where voluntary dissolution of a limited company steps in under UK law. It is a formal process allowing you to end operations on your terms under the Companies Act 2006. By following […]

Understanding debt limitation periods under English law and your rights when dealing with creditors Dealing with persistent debt can feel overwhelming, particularly when creditors continue pursuing repayment years after financial difficulties first emerged. Many individuals facing debt challenges ask crucial questions: "How long does a debt take to be written off?" or "How long before […]