Consultations and advice – INITIAL CONSULTATION FREE

To general practitioner accountants, legal practitioners and their clients in financial difficulty, to identify options available to them.

Partnership Receiverships

In these cases, we are appointed by the Court, either by consent order or such other order as the Court determines, to take control of a business in which partners are in dispute, and carry out the orders of the Court, which are quite often for the conduct of the business until such time as the business assets can be sold, and the partnership wound up.

Voluntary Administrations

Such arrangements involve the appointment, usually by the directors of the corporation, of a Registered Liquidator to take control of the affairs of the corporation in circumstances where the directors believe that the company is insolvent or about to become insolvent. The Voluntary Administrator is required to advise creditors on whether Liquidation or a Deed of Company Arrangement (an agreement between creditors, the company and the Administrator of the Deed) would be in the best interests of the creditors. They are a flexible tool which can achieve quite remarkable results as an alternative to Liquidation in certain circumstances. Once the Deed is entered into, subject to the law having been complied with, the Deed is binding on all creditors, provided the terms of the Deed are abided by.

Corporate Receiverships

These are usually the result of an action by a secured creditor, exercising their security being a charge over the corporation’s assets, in support of borrowings by that corporation. The instigator of Receivership appointments is usually, but not always, a financier.

Liquidations

These can be either Voluntary Liquidations or Court Liquidations, with Voluntary Liquidations being divided between Members Voluntary and Creditors Voluntary. A Members Voluntary Liquidation is the result of a decision by the members of the corporation to wind up its affairs, in a situation where the company is solvent (that is it can pay its debts as and when they fall due from its own money). A Creditors Voluntary Liquidation is initiated by the directors, but in circumstances where the directors do not believe the company is solvent. These days, they usually result from a company in Voluntary Administration being placed in Liquidation by the creditors at a creditors meeting. Court Liquidations are by order of a Court, and are usually, but not always, disputed by the directors of the corporation. Only an Official Liquidator such as Ian Jessup can take on such appointments.

Statutory Trustees

In a dispute over sale of jointly held property, we can be appointed Statutory Trustees to act as an independent party conducting a sale in the interests of all parties. These appointments are by order of the Court.

Business Reconstruction


Intensive care assignments

Usually involves working with other accountants, directors, business proprietors, etc. to take a business from financial difficulties to financial health.

Informal or unofficial arrangements between debtors and creditors

These represent a very small proportion of cases, as they involve getting all creditors to agree on something other than full payment of their debts, and can be frustrated by only one creditor not agreeing. Therefore they have limited appeal as a general rule.

Deeds of Company Arrangement

A Deed of Company Arrangement (Deed) is put to creditors at the second meeting of creditors following the appointment of a Voluntary Administrator. A Deed can be formulated to suit the needs of each particular case and takes into account the interests of all stakeholders concerned, the debtor company, creditors, and other third parties.

Entering into a Deed can be an alternative to winding up the company, and can allow the company to continue in existence after the terms of the Deed have been complied with.