If your company is struggling to pay its creditors and is starting to face pressure, then company administration could be a solution to consider.
An Administration Order is a court order that stops anyone taking legal or enforcement action against your company, whilst a way forward is agreed.
An Administration Order can be obtained very quickly, so protection from aggressive creditors helps the business and not shut it down.
The Order has to be made by a court but even the application for the Administration Order is enough to get the legal protection to stop creditor’s actions.
The key to a successful Administration is a better return to creditors and lenders. At the start, you will need to go through your company’s affairs with an insolvency specialist – such as Bridgestones – to look at all the issues you have and discuss the alternative methods of solving them.
Assuming Administration is the best route, then a court application and immediate protection is granted. This stops any legal action against your company and lets you work with the proposed Administrator to find the best route forward.
A Company Administration must achieve one or more of the following:
We go through the alternatives and work together to get the right route.
Call us now on 0800 781 0014 to discuss your company situation.
An administration order is granted by the court, as it is a court driven process. The procedure for application can be different depending on which party is applying for the administration order and what kind of pressure the company is under, particularly threats of winding up. Some applications can be done outside of the court, with court sanction; some applications have to be made in court, in front of a judge.
The protection an administration order grants the company comes into force when application is first made to court; you do not have to wait for the order to be granted before the company is protected. Application to court for an administration order, in many cases can be done within one day, giving you almost instant protection.
For a detailed breakdown of the process relevant to your company’s particular circumstances, please contact Bridgestones.