Insolvency and Restructuring

Facing insolvency or bankruptcy can be overwhelming, especially when you’re juggling a business or trying to protect your family.

Insolvency issues are also time sensitive. The longer debts are left unmanaged, the more serious the consequences can become. Getting early legal advice is important to protect your situation and explore your options.

Corporate insolvency

A business can become insolvent in one or both ways at the same time.

1. Cashflow insolvency

This is when your business does not have enough cash to pay its debts.

2. Balance sheet insolvency

This is when your company’s debts are greater than its assets.

Insolvency options

If a company is insolvent, the directors have a number of options available.

These include placing the company into creditors’ voluntary liquidation or administration if there is a viable business, or considering a company voluntary arrangement. There are also other options.

If the company is served with a statutory demand, winding up notice or a winding up petition, it’s important that the directors and/or shareholders seek urgent independent legal advice as it may result in the company’s bank account being frozen.

Bankruptcy

A person may become bankrupt when they are unable to repay their debts as and when they fall due.

If you are in a position where you’re unable to repay your debts, there are several options available to you. Bankruptcy may or may not be the best solution for you. So it’s important to seek legal advice from insolvency solicitors.

If you are served with a statutory demand or a bankruptcy petition, it’s imperative that you seek independent legal advice as soon as possible.

How we can support you

Our specialist insolvency team can offer clear advice across corporate and personal insolvency matters.

Whether you’re a director facing financial pressure, an individual dealing with bankruptcy, or a business affected by another company’s insolvency, we can help you understand the best way forward.

Corporate insolvency help

We can give you specialist legal advice tailored your situation if:

• you have received a statutory demand or winding up petition
• a liquidator, the Official Receiver or the Insolvency Service has contacted you about issues such as misfeasance, transactions at an undervalue, preference claims, wrongful trading, misuse of bounce back loans, or an overdrawn director’s loan account
• your business is struggling financially
• your company needs to enter liquidation
• current or former directors need insolvency advice

Bankruptcy advice for individuals

We can provide guidance on the best way forward if:

• you have received a statutory demand or bankruptcy petition
• your spouse or ex-spouse has been declared bankrupt
• a trustee in bankruptcy wants to sell your home
• you have received correspondence from a trustee in bankruptcy
• you want to explore annulling a bankruptcy order

Related insolvency issues

We can advise and support you if:

• you have given a personal guarantee
• a customer has gone into liquidation without paying
• you need help enforcing a retention of title claim
• you want to issue a winding up petition against a company
• you want to issue a bankruptcy petition against a debtor
• you have received a letter about Company Directors Disqualification proceedings

Why choose us to help with insolvency and restructuring issues?

If you’re finding it hard to deal with debt or insolvency, we understand that it can be emotional and stressful.

Our specialist insolvency solicitors offer supportive and practical advice so you can move forward with confidence.