What is a Company Voluntary Arrangement? How can this help a company in financial difficulties?
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- A Company Voluntary Arrangement is often referred to as a CVA
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- Trading usually continues for the company
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- A repayment plan is agreed with creditors based on what the debtor company can afford
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- The CVA will typically be over a three to five year period
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- Dividends repaid to creditors can vary from 25p to 100p in the £
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- The CVA is a legally binding agreement between the company and the creditors
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- The aim of the CVA is to allow the business to survive as a going concern, or to achieve better realisation of the company’s assets.
How do the directors make the difficult decision and choose between a CVA or a Pre-Pack Administration or a creditor’s voluntary liquidation or to trade through?
That’s where we can help! We would be pleased to have a meeting to go through all the options – please call Tim Corfield or Richard Owen for a free consultation.
Please do not hesitate to contact Tim at tim.corfield@griffinandking.co.uk.
Here’s what a couple of our clients have said about us recently:
“Excellent service, you said you would look after me and you did”
EW – 08 January 2014
“Cheryl – many thanks for speedy and excellent work”
MH – 08 January 2014
“Very well informed, great service from start to finish. Made things easy through a difficult time”
BB – 07 January 2014
