Corporate insolvency processes

When a company’s financial position reaches a point where its assets exceed its liabilities or it is unable to pay its debts as they fall due, it may be necessary or desirable to place it into an insolvency process. Some insolvency processes are available even if the company is solvent and some may result in the rescue of the company. This overview describes the different forms of insolvency processes for companies.

In appropriate circumstances, a restructuring can serve as an alternative to an insolvency process. For more information, see: Restructuring—overview.

Administration

Administration is a short-term measure for a company in financial difficulty. The administrator can be appointed out of court by a qualifying floating charge holder (see paragraph 14 of schedule B1 to the Insolvency

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