Company administration is a formal procedure in which an insolvency practitioner is appointed to act as the administrator of an insolvent company with the goal of bringing about a recovery.
Any upfront quotes for Pre Pack Administrations by Insolvency Practitioners can be unreliable as your business will need to be professionally valued to establish the accurate purchase price.
If your company is being threatened by creditors (i.e. - a landlord, HMRC, your bank, credit card companies, etc.) and you fear that you could be taken to Court and put out of business, then continue reading to find out how an administration order could protect your company from liquidation and dissolution:
If you don't feel like reading the following guide and you have a specific question that needs answering, feel free to send us an email or call us on 0800 644 6080 for free advice.
Before we tell you more about the process you should consider the following points to make sure it is appropriate for your company to enter into administration:
To be absolutely sure that administration is the best route for your company speak with one of our insolvency practitioners today.
The following are the pros and cons of entering into company administration in the UK:
If the charge is held on a debenture that was granted before that date then they would be able to put your company into administrative receivership. Keep in mind that even if the directors of your company are the ones who initiate the administration it is possible for the bank, or another holder of a floating charge, to appoint their own administrator at their discretion.
If you’re concerned that a hostile creditor may try to petition your company to court, an administration could provide the protection needed to recover without being served payment demands or facing compulsory liquidation.
The administrator must submit their proposals to creditors within 8 weeks of the commencement of administration. After submitting their proposals and having them approved the administrator can take up to several months to carry out the administration as planned. Overall, an administration is supposed to last no longer than 1 year, but this time limit can be extended by the Court, or through the consent of the company's creditors. It can take 1-2 weeks to organise a pre pack administration.
Our licensed insolvency practitioners are experienced in all matters related to company administration. For free advice email us or call us today (0800 644 6080) and we’ll help you formulate a plan to get back on track.
Thursday 11th February, 2016 Written by Keith Tully
More than 200 people have lost their jobs after a toiletries company based in Devon was entered into administration in recent days.Learn More…
Tuesday 9th February, 2016 Written by Keith Tully
The British fashion retailer Ben Sherman has been acquired via a pre-pack administration deal that will keep it in business under a new licensing agreement.Learn More…
Friday 5th February, 2016 Written by Keith Tully
A claims management company called Rebus that attracted investments from dozens of different sources via a crowdfunding platform has been entered into administration.Learn More…
12th February 2016 An insolvency practitioner named Kiran Kumar Mistry has been sentenced to three years and six months in prison for his role in defrauding a total of nine different companies based in the Midlands.
08th February 2016 A ruling delivered at the High Court in London has seen an apparently interconnected group of construction and civil engineering companies forced into liquidation.
25th January 2016 The internet search engine and services giant Google has agreed to pay £130 million in back taxes to HM Revenue & Customs (HMRC) following a six-year inquiry into its tax affairs.
21st January 2016 Holland & Barrett, the health food retailing giant, has drawn criticism from a variety of sources for what some people are characterising as tactics based on bullying its suppliers.
18th January 2016 Tata Steel has confirmed that it will cut 1,050 jobs across several of its UK facilities in an effort to improve the competitiveness of its British operations.
Every day we help companies just like yours turn things around against seemingly impossible odds, regardless of your situation we can help. Find your nearest office today.