Insolvency Flashcards
1
Q
When is a company deemed to be insolvent?
A
When it does not have sufficient assets to cover its debts, or is unable to pay its debts when they are due.
2
Q
What are the different types of insolvency? (5)
A
- Company Voluntary Arrangements (CVAs)
- Administration
- Winding up of the party/company or compulsory liquidation
- Administrative receivership (or receivership) and
- Voluntary liquidation
3
Q
What is a CVA?
A
A Company Voluntary Arrangement is as agreement with creditors to pay over a fixed period of time.
4
Q
A
