Company Insolvency

In the event of a company or partnership getting into financial difficulties, Irwin & Company have the ability to blend considerable commercial expertise with more than a touch of realism. We understand that a sustainable solution can only be achieved when the interests of the various parties involved in an insolvency procedure have been reconciled.

The Insolvency Acts 1986 and 2000 provide the current legal framework for corporate insolvencies. There are requirements under the Acts that insolvency procedures generally can only be carried out by a licensed insolvency practitioner.

The practice undertakes appointments across a wide spectrum of corporate insolvency issues, enjoying an enviable reputation at the smaller to medium end of the recovery market. Our objective is to provide positive and cost-effective solutions to business problems and a professional service to all our clients.

The Insolvency Acts 1986 and 2000 provide the current legal framework for corporate insolvencies. There are requirements under the Acts that insolvency procedures generally can only be carried out by a licensed insolvency practitioner.

Procedures include:

Company Voluntary Arrangements

This is simply an agreement between a business and its creditors to a plan of reorganisation that involves the delayed or reduced payment of debts. Proposals can be made by the directors, administrator or liquidator and includes the appointment of a licensed insolvency practitioner as nominee.

Creditor’s Voluntary Liquidation

Sometimes referred to as a ‘voluntary winding-up, this procedure is initiated by the directors and shareholders of a business. CVLs are determined by realisation that the business cannot pay debts as and when they fall due.

Administrative Receivership

This procedure involves the appointment of a licensed insolvency practitioner as administrative receiver by a bank or other secured lending institution holding a floating charge debenture. The administrative receiver is appointed by the debenture holder when the business is deemed to be in default under the terms of the debenture.

Administration

A constructive way of preserving a company’s business or achieving a better return for creditors than a liquidation. A licensed insolvency practitioner is appointed as administrator on the petition of either the company, the directors or one or more creditors.

Compulsory Liquidation

Often referred to as a ‘winding-up by the court’ this procedure is the ultimate sanction against a business that defaults on basic obligations to creditors. The compulsory liquidation is ordered by the court, typically following the petition of a creditor, the business or a shareholder.

Report on Directors

With the exception of company voluntary arrangements, there is an obligation on the part of the insolvency practitioner to report to the Department of Trade and Industry on the conduct of anyone who has been a director or shadow director within the preceding two years. This may lead to disqualification proceedings being brought against one or more of the directors by the DTI.

Irwin & Company have the ability to blend considerable commercial expertise with more than a touch of realism. We understand that a sustainable solution can only be achieved when the interests of the various parties involved in an insolvency procedure have been reconciled.

We offer advice to directors and more general business advice, as well as our insolvency solutions, which include corporate recovery, turnaround, reconstructions, voluntary arrangements, administrations, liquidations and solvency planning.