Protect Director

Protect DirectorInsolvency Solutions Defence

Protection of client Directors from personal liability is the first priority of Insolvency Solutions. Before actioning a CVL, or CVA, we will identify your vulnerability to such claims as wrongful trading, overdrawn directors account and personal guarantees and how best to remove, or minimise liability.

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WRONGFUL TRADING

When fighting off threats, Directors can sometimes break insolvency rules leading to disqualification as a Director or fines. Late repayment of a temporary cash injection can unexpectedly be classified as a fraudulent preference and- once insolvent- just “paying today’s Peter and not yesterday’s Paul” can lead to claims of wrongful trading !

We can often counter such matters by an analysis report, showing the Director was acting in the general interest of creditors, or before insolvency was recognised. No action would then be taken against you by the Liquidator, or Insolvency Service.

Protection of client Directors from personal liability is the first priority of Insolvency Solutions. Before actioning a CVL, or CVA, we will identify your vulnerability to such claims as wrongful trading, overdrawn directors account and personal guarantees and how best to remove, or minimise liability.

WRONGFUL TRADING

When fighting off threats, Directors can sometimes break insolvency rules leading to disqualification as a Director or fines. Late repayment of a temporary cash injection can unexpectedly be classified as a fraudulent preference and- once insolvent- just “paying today’s Peter and not yesterday’s Paul” can lead to claims of wrongful trading !

We can often counter such matters by an analysis report, showing the Director was acting in the general interest of creditors, or before insolvency was recognised. No action would then be taken against you by the Liquidator, or Insolvency Service.

OVERDRAWN DIRECTORS ACCOUNT

This can be a serious liability. Shareholding Directors sometimes pay themselves advances during the year to be offset later against Dividends. But, what if trading collapses? Drawings become a debt, with repayment demanded by the liquidator.

In such a case we look to apply different possible solutions. Dependant on timing , it may be possible to submit revised accounts before ceasing to trade. Where it is too late for such radical solutions, we apply our strong experience to negotiate a minimised settlement figure.

PERSONAL GUARANTEES

Many loan and lease agreements allow the lender to demand payment from the Director personally without waiting to process a company claim. Hence demands are made quickly. Our assistance includes pre-empting this and buying time for you to decide best action. Where our client has no significant assets, we can normally negotiate substantial reductions for settlement, without recourse to an IVA; where clients do have substantial assets, it is still normally possible to negotiate extended time to pay.

If you would like us to review your potential areas of liability as a Director, or to examine accounts to assess scope for change and re-submission, please call or email to discuss this – in complete confidence and with no obligation!

If you would like us to review your potential areas of liability as a Director, or to examine accounts to assess scope for change and re-submission, please call or email to discuss this – in complete confidence and with no obligation.!

Free, Confidential, Expert, Advice, Today

0800 313 4331

Free, Confidential, Expert, Advice, Today

0800 313 4331

Interco Management Services Limited

Forum House – Stirling Rd – Chichester – PO19 7DN

1 Bromley Lane – Chislehurst – Bromley – BR76LH

Interco Management Services Ltd

Forum House – Stirling Rd – Chichester – PO19 7DN

1 Bromley Lane – Chislehurst – Bromley – BR76LH