T: 03333 21 9000 E: advice@bishopfleming.co.uk Log In

Voluntary Arrangements

Working with your creditors

Businesses as well as individuals can benefit from voluntary arrangements. These are a protected agreement with your creditors set up by an Insolvency Practitioner like Bishop Fleming.

Voluntary Arrangements can be proposed by Companies, LLP’s and Partnerships. It is a formal but usually flexible financial arrangement dealing with all of the company debts, which can last up to five years.  It is set up via an Insolvency Practitioner, the precise terms of which requires approval by your creditors. In our experience the bank is likely to play a crucial role if an Arrangement is to be approved. Come and talk to us.

Company Voluntary Arrangements

A CVA route has been successfully used by companies and LLPs to trade through a financial crisis by paying off in part or in full old debt, without facing the terminal route of liquidation. Where a company can show that it has the leadership and a realistic financial plan that can offer to creditors significant recovery of a potential bad debt then we are able to support a CVA proposal and work with your creditors.

The advantage of this for you and your business is your creditors are just as bound as you are, so for the duration of the CVA, your business is protected; your creditors can’t back out of the arrangement or demand different terms once it’s been agreed.

A CVA is, in effect, a business tunnel – your business will be set on one path for a while, but will hopefully emerge from the other end healthy and able to continue trading as you were.

Partnership Voluntary Arrangement

A PVA is very similar to a CVA route (see previous tab) but applies to a formal (non LLP) partnership situation. It is a rarely used route but come and talk to us.

Other options

It may be that a voluntary arrangement isn’t the right way to go for your business, or that you or one of your creditors have already taken you too far down another path. Even if this is the case, there’s plenty that Bishop Fleming can do to help.

 

Your Business Recovery Team

Business Recovery News

Estate agents facing financial meltdown

As many as 1 in 4 estate agents are showing signs of financial distress due to falling house sales, increased online competition and rises in stamp duty. A recent survey suggests over a quarter of estate agents in the UK are showing signs of financial distress. The number of property sales in the UK have […]

Read More

Bishop Fleming Strikes Gold for Client Services

Leading professional services firm, Bishop Fleming, has been awarded Gold status by the independent customer services agency, Investor in Customers (IIC), in its latest survey of clients and people. The firm, which delivers accounting, tax and advisory services to businesses and private wealth advice to individuals, has been recognised for its “exceptional” service to clients […]

Read More

Other options