How do I know if my business is insolvent?
A business becomes insolvent when they are unable to pay their debts when they become due and payable. Contributing factors to insolvency can be poor cashflow management, lack of savings or bad debts. When faced with an insolvent company, the best thing to do is to seek professional advice.
What is insolvent trading?
Insolvent trading occurs when a business continues to operate whilst they are unable to pay their debts when they become due and payable.
What is a report as to affairs?
A report as to affairs is prepared by a director for the administrator within 5 business days of appointment or for a longer period if the administrator allows. The document contains information outlining the company’s assets, such as debtors, cash, stock, property, plant and equipment, and its liabilities, for example employee entitlements, unpaid tax, accounts payable.
What is the process involved with appointing a voluntary administrator or liquidator to my company?
A report as to affairs is prepared by a director for the administrator within 5 business days of appointment or for a longer period if the administrator allows. The document contains information outlining the company’s assets, such as debtors, cash, stock, property, plant and equipment, and its liabilities, for example employee entitlements, unpaid tax, accounts payable.