Company voluntary arrangements
In some circumstances it may make financial sense for a business to enter into a Company Voluntary Arrangement (CVA) with its creditors. The aim in such circumstances is both to ensure the survival of the company as a going concern and to maximize the return for creditors.
Our insolvency team advises companies who have decided that such an arrangement is the best option, ensuring that they comply with all the necessary formalities involved. We also have experience of assisting foreign companies that hold a Centre of Main Interest in the UK, when they decide to enter into a Company Voluntary Arrangement with creditors.
Our clients are generally directors who wish to arrange a Company Voluntary Arrangement for their companies, but in some cases we are also approached by insolvency practitioners who request that we advise the client directly. In many cases we will act simultaneously for the company and the insolvency practitioner, in order to oversee all the formal requirements and ensure the CVA is carried out in a sensible and orderly fashion.
- Acting for various distressed companies in arranging for CVAs to be agreed with their creditors for the purposes of allowing the continued trading at the entity in question. At the same time, obtaining the necessary protection in order to allow the CVA to be implemented by arranging for the company to enter into administration for the purposes of obtaining a moratorium over its debts.
- Acting for the directors of West 175 Media Group Inc, a company with a registered office in California but its Centre of Main Interest in London. We helped them reach the necessary agreement with creditors, allowing the company to enter into a CVA.
- Acting for various shareholders and creditors in relation to the CVA and administration of Unigreg Limited. Assisting the Supervisor in assessing the merits of various claims submitted in the CVA by a Chinese state entity as well as the previous Chinese distributor of the company in CVA and administration, involving the application of Chinese law.