Voluntary Administration is a less known alternative to liquidation. How does it work? The board of directors resolves to put the company into administration. Administrators take control of the company. Creditors rights to pursue the pre-administration debt freezes for a five-week period (potentially extended by the court). An initial meeting of creditors is held, where ... read more.
The Government on the 3rd of April proposed some legislative changes to the Companies Act in order to support business that are struggling due to the COVID-19 lockdown. One of the more interesting changes was the proposal to allow business to place their debts into hibernation. So, what is “Business Debt Hibernation”? Exact details aren’t ... read more.
Insolvency stats for April to June 2017 How does this timeframe in 2017 compare to the last five years? What’s happening in the market Forex NZ and Forex NZ 2000 have both gone into liquidation. While the director of both companies has admitted to wrongdoing with the treatment of ... read more.
Image courtesy of reynermedia What happens with assets in a locked safe? During the course of a liquidation, assets and accounts must be evaluated to determine which assets belong to the company, making them available as a means to pay creditors. This, as you know, is standard practice. We would like to ... read more.
Image courtesy of walknboston If you’re trying recover debts, show strength If you are a creditor of a non-paying debtor there are many steps you can take to improve the chances of receiving payment of that debt. However, in our experience, creditors taking a more aggressive stance are more likely to receive ... read more.
Image courtesy of Rob Brewer How will this impact businesses and consumers? Insolvency laws in New Zealand have remained largely unchanged since the 1950s; however, we’re on the brink of seeing amendments to these laws. As you know, insolvency law reform has been a topic in the news since the failure of ... read more.
How is New Zealand’s economy faring as of April 2017? The start of 2017 saw a slight dip in the housing market typical of the December trading period with claims the boom is over. Businesses also reported less confidence in the economy. January to March 2017 How does 2016 compare thus far ... read more.
Photo courtesy of CDC Global Here’s a ready-made article for your clients With a new financial year starting, it’s timely to comment about the importance of keeping complete and accurate accounting records. We know you’ve just been through your busiest time as an accountant, and you’re probably trying to forget how many ... read more.
Photo courtesy of Surrey County Council News It’s not as straightforward as you would think It is understandable that creditors want to get paid. They’ll suggest all avenues possible within the course of business and law, including suing directors personally, to reclaim funds owed. Creditors often ask us three questions in their ... read more.
Photo courtesy of Thomas Angermann Give your client another option to consider We bet you’re wondering: “Why would a company choose to undergo a solvent liquidation? How would a company even find itself in this position?” Essentially, a solvent liquidation is a liquidation where the directors declare their organisation will be able ... read more.