If you are owed money by a person or company who cannot pay its debts, you can make a claim to bankrupt an individual or apply to wind up a company. However, if the person or company has no assets, you will not get your money back. You are advised to seek professional advice in order to manage the situation successfully.
An Insolvency Practitioner will likely be appointed to act as trustee or liquidator. They will distribute the proceeds from sold assets to creditors in the following order:
- fees and charges of the bankruptcy or liquidation
- debts to preferential creditors, such as wages owed and contributions to occupational pension schemes
- for a company, any creditor holding a floating charge over an asset
- all unsecured creditors
- any interest payable on debts
- for a company, the shareholders
How much you will be paid?
You will receive a notice that will explain if there is a distribution of money. It might take weeks, months or years for the money to be distributed, if the assets and matters are complex. If full payment is not possible, creditors will receive a dividend in proportion to the value of each claim.
You can utilise our expertise and experience when completing legal procedures, or as representatives on committees. Additionally, you should seek practical guidance on retention of title claims. We are able to assist your completion of claims and forms across all insolvency services according to legal responsibilities.
Our services are accessible and our insolvency practitioners are both experienced and approachable. We work to make saving your business as pain-free as possible.
Some of the creditors and businesses we have helped include:
– Retail stores
– Security companies
To speak to a member of our team, you can contact us on 01923 224411 or email Michael Goldstein; firstname.lastname@example.org