It is a legal action by a creditor asking the court to close your company and liquidate its assets. It is usually the end of a longer recovery process, not the start of one.
How long have I got?
Less than it feels. Once the petition is advertised in the Gazette your bank will usually freeze the account, and that often happens seven working days after service.
Can a petition be stopped?
Often, yes — by adjourning the hearing to buy time, by binding the creditors into a Company Voluntary Arrangement, or by satisfying the petitioning creditor so they withdraw it.
My bank account has been frozen. What now?
Ring us the same day. A validation order can unfreeze your bank account and let the company keep trading while the petition is dealt with, but it has to be applied for.
What is a CVA?
A Company Voluntary Arrangement is a legally binding agreement to repay creditors over a fixed period, often at a reduced amount. It is not advertised, and the company keeps trading.
Will a CVA be made public?
The arrangement itself is not advertised in the way a petition is, though it is recorded. That is one of the reasons directors choose it.
Do you act for the company or for me?
For the company. Where a director’s own position needs separate advice we will say so rather than assume.
Are you solicitors?
No. We are insolvency consultants. We instruct insolvency barristers in the Chancery Courts and work alongside licensed insolvency practitioners. We are the leaders in packaging CVAs in the UK.
What does it cost?
It depends on the route, and we will inform you in writing before anything is incurred. The first conversation costs nothing.
What do you need from me to start?
We need a Consent to Act signed by a Director of your company and our fee paid, along with a copy of your I.D.
