How are funds distributed in a Liquidation and who is at the top of the pecking order? In this month’s article we discuss the strict hierarchy within the Insolvency Act, which determines the order that creditors will be paid during liquidation. […]
Administration
Administration Sale: Tips for buying a business from an Administrator
With the current economic landscape witnessing the highest number of company insolvencies in 30 years, there are more opportunities than ever to acquire struggling businesses. Tom Grummitt, Insolvency Practitioner & Partner at Bridgewood, shares valuable advice from his experience. In the year 2023 alone, over 25,000 companies faced insolvency, marking a significant uptick – the […]
Insolvent Liquidation
Why did insolvencies jump in 2023?
Last year saw a surge in corporate insolvencies across England and Wales, with the Insolvency Service documenting a total of 25,158 cases, marking the most recorded since 1993. The breakdown of these figures reveals 20,577 instances of voluntary liquidations – a 9% increase from the previous year and the highest figure since 1960 – along […]
Insolvency
Who Pays the Fees for an Insolvency Practitioner?
When a company is facing financial difficulties, the director may choose to appoint an Insolvency Practitioner to manage the process of restructuring or winding up the company. One question that often arises is, who pays the Insolvency Practitioner’s fees? In this blog post, we will discuss the responsibilities of the company, the Insolvency Practitioner, and […]
Insolvency
What is the Insolvency Practitioners Association (IPA)?
As a company director, you may have come across a regulatory body called the Insolvency Practitioners Association (IPA) but may not be clear on what it actually is and how it operates. In this blog post, we will provide a clear understanding of the Insolvency Practitioners Association and its role in the world of insolvency. […]
Insolvency
Understanding Insolvency Practitioners: A Comprehensive Guide for CEOs and Managing Directors
As a company director, you may be aware of insolvency practitioners but might not fully understand their role. An insolvency practitioner is a licensed and regulated professional who provides specialist advice and services to individuals, companies, and their creditors during financial distress. In this blog post, we’ll be exploring what an insolvency practitioner does, how […]
Insolvency Law
How Long Does the Insolvency Process Take?
It is challenging to estimate precisely how long the insolvency process will take as it depends on multiple factors, including the type of insolvency process, company size, complexity of the case, stakeholder cooperation, and court decisions. Insolvency Guide for Company Directors Navigating insolvency can be a daunting experience. It not only entails financial loss and […]
Liquidation
A Guide to Understanding What Happens to Company Assets During Liquidation
As a company director, it is essential to know what happens to your company’s assets during the liquidation process. Liquidation is a process of selling off all company assets to pay off debtors or creditors. The process can either be voluntary or involuntary, and it is usually initiated when a company can no longer pay […]
Liquidation
Understanding the 4 Stages of Liquidation – A Guide for Business Directors
There are normally between 1,500 and 2,000 company voluntary liquidations each month, and it is a sad reality that many directors will find themselves needing to do this at some point. To most this will be an unknown process and the task of taking a company into liquidation can seem overwhelming, especially if directors are […]
Liquidation
What questions should I ask when appointing a liquidator for my company?
Choosing a liquidator for your company is not an easy decision. This person will be responsible for the financial and legal aspects of winding up your business, so you need to make sure you choose the right person for the job. In this blog, we’ll discuss the questions you need to ask when appointing a […]
