Company Voluntary Arrangement Goathurst Common in Goathurst Common

Contact Us

Company Voluntary Arrangements or CVAs, as they are also known, are one of the ways in which a limited company, which is classed as insolvent, can pay back their debts to creditors over a fixed period of time.  Insolvency is when a company is unable to pay back their debts as they fall due or if they do not have enough assets to cover its debts, for example, if the value of assets falls less than the amount of liabilities. 

If you think this may apply to you and your company, don’t fret, we can definitely help. If your company is deemed insolvent, then the director no longer has a primary responsibility towards the care of its shareholders but its creditors instead.  It is similar to bankruptcy, but bankruptcy is the term used only for personal debt, whereas insolvency is the terminology used for business debt.

Find Out More

Many companies across the UK find themselves insolvent and every circumstance of insolvency is different to the next.  That is why there are several ways that directors can consider to ensure that the matter is best resolved.  It is recommended that companies seek sound advice to ensure that the best solution is chosen, and this should be chosen sooner rather than later. 

There are in fact four different procedures to consider if you feel as though your organisation is heading towards insolvency that may help rescue the situation before it gets bad.  These include Administration, Administrative Receivership, Liquidation and finally, as discussed below, Company Voluntary Arrangements.   This is one of the lesser known insolvency procedures available for businesses.

What is a Company Voluntary Arrangement?

A Company Voluntary Arrangement is an agreement with your company’s creditors to allow more time to pay back debts. This is a legally binding agreement as it stands and 75% of creditors, by value, must support the proposal, otherwise it will not be approved. 

After the proposal has been approved by all involved, any unsecured creditors are bound to it and your limited company can continue trading, even those creditors that did not vote (by choice or no notice) have to act within this arrangement.   Therefore, no unsecured creditors are able to take legal action against your organisation outside the CVA.

It is certainly one of the most flexible insolvency methods available as, apart from the procedure and content of your proposal, which are both dictated by law, the rest of this arrangement is determined by the company, with the hope that the creditors will agree to it. 

Unlike other procedures which may be considered, this has no effect on employee contracts so jobs can be saved, unless redundancies are a necessary part of the procedure, for example, during a restructure.

The arrangement will usually last over a period of 3-5 years and is closely monitored by a licensed insolvency practitioner who acts as a supervisor to the arrangement.  The time agreed on will help the business to repay all or some of its debts whilst still trading and remaining under the management of its own directors. 

How Much Does a CVA Cost?

A CVA can only be granted through an insolvency practitioner who not only charge for the application process but also the administration process.  It is difficult to say exactly how much the Company Voluntary Arrangement will cost as each case is unique and varies depending on total number of creditors, employees, position of the bank and what level of negotiation is needed. 

There are many people involved within the arrangement, and that does mean that a lot of communication needs to take place between not only to the company and its creditors but also the company’s stakeholders.  Like many other insolvency procedures, the sooner the ball is rolling the easier, and cheaper, the case can be to handle.  Professional insolvency practitioners can give you an idea of cost once they fully understand your company’s financial position.

Pros and Cons of a Company Voluntary Arrangement

Pros

·         Can improve cash flow within a short amount of time

·         Pressure from tax, VAT and PAYE is lifted whilst the agreement is being prepared

·         Company remains operational as a separate legal entity and managed by its existing team

·         Business contracts, accreditations and licenses are likely to be unaffected

Cons

·         It is possible that there may be disagreements over the proposed CVA between directors.

·         If a single creditor makes up a large percentage of the company’s debt, then they have a strong position to negotiate deals on their terms

·         It will have a negative effect on company’s credit rating and obtaining future credit may be an issue well after the arrangement has ended.

·         The arrangement does not legally bind secured lenders, so they can still take legal action.

CVA Process in the UK

The application process for a CVA in the UK can only begin if all the directors or members agree and this must be done with an insolvency practitioner.  The insolvency practitioner will then start to work out a plan and arrangement as to how much debt the company can pay back and a payment schedule to ensure this is achieved.  This must be completed within a month of being appointed to supervise the CVA.

One the arrangement has been written up, the insolvency practitioner will write to all creditors and provide necessary information and invite them to vote on it.  As mentioned earlier, for the Company Voluntary Arrangement in Goathurst Common to be granted, it must be approved by creditors who are owed at least 75% of the debt.  If this cannot be achieved, then the company may face voluntary liquidation, whereby its assets are used to pay off its debts, the business will stop trading and will be removed from the companies register at Companies House.

If the voting is successful and works in the company’s favour, then the scheduled payments must be made to the creditors via the insolvency practitioner over a set amount of time and until the agreed amount is paid off.

Get In Touch

We cover Goathurst Common (Kent)

Get in touch

We aim to get back to you in 1 working day.


Skip to

Gallery

Other locations available for company voluntary arrangement goathurst common
The Quarter Sepham Heath Bowmans West Hougham Harvel Pearson's Green Hampton Highgate Upstreet Long Reach Darland Mystole Fordwich Crossways Palmarsh Arpinge Wickhambreaux Small Hythe Hassell Street Loyterton Hollow Street Wainscott Whitstable Breach Labour-in-vain Clarendon Yalding Sevington Molash Westgate-on-Sea Hulberry Bicknor Ruckinge Teston Wierton Chevening Kingsdown Reading Street Milstead Highsted Lynsted Seacox Heath Gravesend Snowdown Burmarsh The Pinnock Hamstreet Northbourne Saltwood Oversland Biddenden Green Lower Herne Great Pattenden Upper Postern The Leacon Kingsgate Staple Barnes Street Parrock Farm Nettlestead Green Western Heights Gore Street Ham Green Platt Petteridge Crockham Hill Pizien Well Halling Roseacre Ringlestone Roughway Twenties Horsalls Hastingleigh Keycol West End Hill Street Comp Mersham Hersden Finberry East Malling Heath Stocker's Head Lower Eythorne Dunton Green Marley Ightham Greatstone-on-Sea Chart Hill Dartford Mill Street Horseshoe Green Plumford Royal British Legion Village Snoll Hatch Dean Street St Ann's Green Grafty Green Leadingcross Green Wormshill Deerton Street Cranbrook Common Otford Barrow Green Leeds Lower Luddesdown Brenzett Green Fant Great Mongeham Elvington Riverhead Woodland Wilsley Green Selsted Cowden Swattenden Cranbrook Riverview Park Nethercourt Platt's Heath Lower Hardres Coursehorn New Ash Green Tudeley Claygate Bilsington Hook Green Middle Deal Bearsted Bogle Underling Green Ham Hill Cheriton Crouch Walter's Green Capel-le-Ferne Cranbrooke Common Sevenscore Tanden Church Street St George's Square Chillenden Halfway Street Boughton Malherbe Tutt Hill Swanton Weavering Street Capstone St Martin's Studd Hill Pembury Wayfield Thurston Park Swanley Market Heath Chestnut Street Wingmore Blue Town Pepper Hill Hoath Corner Birling Whiteacre Three Chimneys Branbridges Tunbridge Hill Lamberhurst Marshside Walderslade Heronden West End Sheldwich Broomhill Bank Rough Common Hartley Doddington Norton Ash Cold Harbour Stalisfield Green New Town Wrotham South Stour Longfield Hill Little Betteshanger The Moor Standen Street Eyhorne Street Cooper Street Green Street Green Pluckley Bladbean Queen Street Stone Wolverton Margate Marlpit Hill Horn Street Brasted Stanford Sherwood Denton Salmans Hucking Church Street Newington Modest Corner Kemsley Street Marden Thorn Dungeness Hicks Forstal Devil's Den Ramsgate Northfleet Oad Street Dene Park Waterham Shirkoak Dingleden Way Slade Brabourne West Street Hunton Northwood Halfway Houses Bidborough Frindsbury West Court Upchurch Rowling Street Windmill Hill Buckhurst North Foreland Coolinge Hazel Street Sevenoaks Weald Shorne Knatts Valley Snipeshill Eddington Middle Stoke Dymchurch Manston Challock Borstal Ram Lane Ringwould Anvil Green Graveney West Farleigh Cobham Culmers Upper Harbledown Hildenborough The Valley Boughton Corner Kent Street Friningham Medhurst Row South Willesborough Foxendown Chestfield Minster Styants Bottom Robhurst Pean Hill Shuttlesfield North Eastling West Dumpton Lower Hartlip Brasted Chart Stick Hill Laddingford Hearts Delight Luddesdown Willington Boughton Monchelsea Shorne Ridgeway Singlewell Crockenhill Folkestone New Barn Hawkinge Weddington Wilsley Pound Tenterden Sellindge Marden Beech Maypole Upper Rodmersham Poulders Gardens Little Chart Staplestreet Cross-at-Hand Westbrook Bullingstone Park Wood Noah's Ark Shorncliffe Camp Frittenden Horns Cross Radfield Upper Halling Plumtree Green Crowdleham Upper Hayesden Haviker Street Maxted Street Watt's Cross Upper Hardres Higham Pennypot Bossington Patrixbourne Fir Toll Tankerton Mockbeggar Bullockstone Hubbard's Hill Honey Hill Lydden Strood Parker's Green Palmstead Moorstock Chainhurst Gushmere Park Side Herne Bay Fleet-Downs Fleeden Marine Town Brenchley Woodnesborough Ripper's Cross Uplees Densole Chiddingstone Hoath Wetham Green High Halstow Ramslye Newland Green Perry Street Stowting Common Poundsbridge Caring Round Street New Romney Elmsted Ashbank Ottinge Appledore Palmer's Green High Halden Snoadhill The Lees Borden Cage Green Bockhanger Ileden Knowles Hill Istead Rise Shatterling Chilham Boughton Green Chalksole Green Eythorne Chesley St Stephen's Botolph's Bridge Lydd Westwell Leacon Great Buckland Tyler Hill Court-at-Street Sandwich Bay Estate Wingham Maypole Fig Street Wye St Margaret's at Cliffe Aylesham Potman's Heath Cuxton Plaxtol Cop Street Willesborough Knave's Ash Mile Oak Littlestone-on-Sea Noke Street Marshborough Bybrook Marley Each End Stonecrouch Boxley Sherwood Park Newchurch Lower Goldstone Westwood Harrietsham Broad Street St Mary's Bay Troy Town Middle Quarter David Street Meopham Westmarsh New Pound Dryhill Shoreham Gore Orlestone St Mary in the Marsh Lower Fant Capel Upper Goldstone Smeeth Whatsole Street Brissenden Green Mowshurst Stanhope South Street Dartford Marshes Bloodden Blue Bell Hill Crit Hall Lower Bitchet Great Chart Luton Scrapsgate Curteis' Corner Westwood Further Quarter Durlock Kemsing Wigmore Birchington Toy's Hill Bromstone Aldington Frith Betteshanger Egerton The Stocks Bilting Broad Street Hadlow Ditton Womenswold Tylden Temple Hill Longfield Nelson Park Fairbourne Heath Warmlake Hoath Chitty Dargate Common Iden Green Satmar Vigo Village Wilgate Green Froghole Kingston Aldington Eynsford Underriver Park Wood Sutton at Hone Coppins Corner East Hill Upper Ifield Sissinghurst Smarden Bell Hamlet of Shellness Thurnham North Elham Bateman Corner New Street Well Hill Holborough Scarborough Walmer Collier Street Westwell Priestwood Green Gosmere Heaverham Westerham Stone Hill Naccolt Bedmonton Durlock Lower Rainham Stone Cross Penshurst Woodchurch How Green Larkfield Pedlinge Millhall Ridge Row Four Throws Peene Tilmanstone Sandhurst Cross Silver Street St Dunstan's Broad Ford Dunkirk Bramling Swift's Green Claygate Cross Mud Row Brompton Etchinghill Chislet Woolage Green Dunk's Green Colliers' Green Camden Hill Underriver Ho Lodge Lees Linton Lamberhurst Quarter Pratling Street Glassenbury Kingsnorth Oakhurst Stone Cross Speldhurst Cold Harbour Godmersham Statenborough Ulcombe Paramour Street Hearnden Green Maxton Copton Cheeseman's Green Stockland Green Langton Green Otham Eastry Church Whitfield New House Chalkwell Seabrook Cooling Bedgebury Cross Monkton Hosey Hill Bliby Childsbridge Grove Park East Stourmouth Bax Starvecrow Key Street Pettings Yewtree Cross Merryman's Hill Hempstead Priestwood Pittswood New Hythe Whitehill Boyden Gate Tickham Newnham Frinsted Tovil Bagham Lydden Willesborough Lees Hammill Brookfield West Street Hythe Otterden Place Grain Mountain Street Langley Bishopstone Hartley Hill Guilton Hollingbourne Selling Broadstairs Coldharbour Lynsore Bottom Oare Chilmington Green Lunsford Congelow Sundridge Crouch Sarre Rhode Common Calcott Benenden Mill Hill Flishinghurst Barrowhill Bethersden River South Tankerton Sharnal Street Harman's Corner Hogben's Hill Basted High Knocke Romney Street Little Chart Forstal Rhodes Minnis Adisham Kilndown Stelling Minnis Luddenham Brooks End Clap Hill Stansted Darenth Valley Wildernesse Four Wents Greatness Hillborough Singleton Hunters Forstal Shorne West Leaveland Beltring Worth Elham Waltham Hextable Potten Street Stone Corner Potters Corner Whitehill St Peter's Nettlestead Reculver Flemings Selson Ashurst Ashford South Street Rooting Street Marlpit The Quarter Kippington Stone in Oxney Yewhedges Brook Highstead Southernden Ivychurch West Street Peckham Bush Dane Street Greet Romford Chartham Finglesham Snargate Gillingham Fosten Green Frith Herne Pound London Beach Paddock Tunstall Moor Street Gun Green Woolpack Corner West Malling Derringstone Stone Cross Woodsden St Leonard's Street Garlinge Brandfold Coldred Maidstone Halstead Burham Standen Seaton Bough Beech Hickmans Green Henhurst St James Lilyvale Sutton Valence Lamb's Cross Broad Oak Key's Green Street End Kit's Coty Kingsnorth Pested East Peckham Twitton Bobbing Brattle Hernhill The Quarter Littlebourne Fenn Street Kingswood Perry Grubb Street Woolage Village Iwade Hawthorn Corner Snave Paddlesworth Chatham Langley Heath Fostall Betsham Selgrove Clapham Hill Mile Town Badgers Mount The Pound Barming Heath Liverton Street Swalecliffe Barming Detling Elms Vale East Langdon Wrotham Heath Chalk Beaver Dargate Townland Green Boughton Aluph Denny Bottom French Street Wallend Printstile Knockholt Pound Borden Hill Tubslake Pegwell Bessels Green Lower Green Farningham Stubb's Cross Tickenhurst Pembles Cross Windmill Hill Lower Stoke North Street Hoo Saint's Hill Teynham Breach Bay View Brenzett Clement Street Davington Out Elmstead Blean Stodmarsh St Michaels Rainham Murston Hale Street Red Hill Stoke Mockbeggar The Brents Petham Faversham Lakes Culverstone Green Grove Oldbury Ickham Brabourne Lees Camden Park Warden Stonewood New Town Denstroude Darenth Ashley Swingfield Minnis Alkham Coomb Hill Upper Hardres Court Ewell Minnis Headcorn South Ashford Yew Tree Green Hadlow Stair Linkhill Rowling Goodnestone Boughton under Blean The Crook Sinkhurst Green Speed Gate Bekesbourne Strood Ivy Hatch Chequertree High Brooms Frogham Rolvenden East Malling North Lyminge Timberden Bottom Lullingstone Sandling Bulleign Aycliff Bluetown Kipping's Cross Ide Hill Isle of Wight Goudhurst Coxheath Rushenden Fletcher's Green Bircholt Forstal Little Conghurst Stiff Street Marden Chart Sutton Kemsley Wickhurst Worms Hill Brookland Broad Tenterden Aylesford Stone Street Beltinge Swanscombe Eccles Colt's Hill Golden Green Hawley Hook Green Peters Village Powder Mills Hill Top Maplescombe Warren Street Ford Martin Hocker Edge White Oak Baker's Cross Lashenden Boughton Street Harbledown Hareplain West Yoke Kearsney Westwood Eastling Broomhill Hoppers Corner Sandwich Herne Common Leybourne Wingham Well Cooling Street Northgate Wittersham Napchester Postling Green Barnsole Great Job's Cross Kempe's Corner Postling Ebbsfleet Valley Five Wents Rabbit's Cross Knockholt Perrywood Skeete Lidsing Weller's Town Higham Wood Chambers' Green Flete Rolvenden Layne Sly Corner Throwley The Bridge Warehorne Ware Street Well Head Lenham Forstal Bottom Pond Howt Green Rochester Burlings Five Oak Green Goodnestone Smart's Hill South Street Lyminge Dunn Street Folly Town Hacklinge Winkhurst Green Brook Street Donkey Street Hartlip Hill Lower Island Queenborough Crockhurst Street Guston Sheldwich Lees Lower Haysden Pullington Clapper Hill Great Bower Smarden Teynham Street Longford Egerton Forstal Swanton Street Ripple Lympne Buckland Stonestreet Green Broomfield Withersdane St John's Westbere Lower Twydall Wingham Green Yopps Green High Street Tonbridge Cliffe Monk's Hill Faversham Sixmile Riseden Coombe Blacketts Upper Bush Tuesnoad St Augustine's Wouldham Henley Street North Halling Barham Biddenden Sturry Mount Pleasant Bridge Plucks Gutter Stede Quarter Westfield Sole Broom Street Hungershall Park Broadstone Castle Hill Bredgar Hothfield Forstal Ham Great Cheveney Allington Cherry Orchard Shottenden Scragged Oak Broad Street Otham Hole East Farleigh West Kingsdown Lett's Green Buttsole Meopham Station Camer Farthing Green Thanington Sutton Upper Walmer Yorkletts Northfleet Green South Green Greenhithe Bodsham St Mary Hoo Peening Quarter Fawkham Green West Langdon Acrise Kings Hill Wilmington Maltman's Hill Little Frith Sandhurst Tong Green Sandown Park Pye Corner Nackington Lamberden Stocks Green Wombwell Park Lower Halstow East End Goat Lees Well Street Hazel Street Chillmill Hanging Bank Sholden Scotland Hills Rodmersham Ratling Winchet Hill Erriottwood Wheelbarrow Town Upper Fant Bishopsbourne Appledore Heath Horton Kirby Eastchurch Martin Mill Deans Hill Godden Green St Margarets Leigh Green Dunn Street Foord Barden Park Charcott Rooks Hill Hartley Lewson Street Lower Higham Highstreet Crundale Whitley Row Tonge Corner Milton Regis Markbeech Hockley Swingfield Street Snodland Field Green Burrswood Benover Wyebanks Rodmersham Green Cooper's Corner Sandgate Exted Hook Green Woodside Green Twydall Bluewater Fordcombe Nonington Hook Green Morehall St Radigund's Boughton Lees Force Green Knockmill Hawkhurst Four Oaks Crabble Hartlip Heath Side Sibertswold Sevenoaks Upper Deal Lenham Sole Street Bitchet Green Millbank Tower Hill Cliffe Woods Lower Upnor Broad Oak Dungate Horsmonden Livesey Street Stowting Addington Tudeley Hale Ash Church Hougham Summerfield Ridley Smallbridge Hilden Park Badlesmere Elvington Capel Cross Temple Ewell Goddard's Green Tower Hamlets Daniel's Water Three Tees Shepway Goose Green Greenhill Burmarsh Chiddingstone Fairseat Seed Iden Green Shadoxhurst East Street Yardhurst Hamptons Lower Heppington Gibraltar Wichling Grove Green Pluckley Thorne Upper Eythorne Orchard Valley Slutshole Newingreen Meresborough Green Hill Hoaden Southfleet Kings Farm Radfall Charing Woodchurch Trottiscliffe Grange Little Mill Chart Corner Burham Court Pineham Neames Forstal Bromley Green Stowting Court Great Stonar Curtisden Green Joyden's Wood Herne Drellingore Lords Wood South Darenth Horselees Nevill Park Royal Tunbridge Wells Durrant Green Four Elms Chilton Newenden West Stourmouth Elmstone Bogden Under the Wood Rosherville Pootings Hollybushes Frogholt Brooklands Ansdore Lade Northdown Worten Throwley Forstal Danaway Garlinge Green Upper Upnor Ringlestone Cliffs End Eastwood East Studdal Staplehurst North Street Upton Kenardington Cellarhill Bredhurst Ware Chartway Street Farthing Corner Ryarsh Whetsted Gain Hill Bekesbourne Hill Charing Heath Lower Walmer Lower Green Troy Town Round Green Paddock Wood Preston Lymbridge Green Hales Place Moon's Green Acol Hill Hoath The Park Chislet Forstal Wateringbury Carter's Hill Ightham Common Newbarn Canterbury Eastwell Park Charing Hill Woodlands Otterham Quay Minster Matfield Timbold Hill Allhallows-on-Sea Knockhall Deans Bottom Chartham Hatch Hawkenbury Seasalter Sevenoaks Common Westenhanger Stonehill Green Harbourland Sandling Bonnington New Town Hawkenbury Goose Green Goodley Stock Wootton Lydd-on-Sea St John's Penenden Heath Reading Street Leysdown-on-Sea Southborough Deal Potter's Forstal Kettle Corner New Town Meopham Green Broadoak Kennington East Barming Mabledon Allhallows Newington Ash Hever Whitfield Bapchild Beal's Green Old Cryals Thong Broomfield Wissenden St Nicholas at Wade Buckland Valley Hall's Green Painter's Forstal Conyer Mundy Bois Chiddingstone Causeway Gravel Castle Dumpton Newington West Cross Twitham Broadwater Down Haffenden Quarter South Street Richborough Port Rusthall Hinxhill Lenham Heath Felderland Old Wives Lees Hemsted The Forstal Sittingbourne Bossingham West Hythe Hodsoll Street Pett Bottom Barrow Hill Hale Bayley's Hill Chegworth West Peckham Troy Town Old Romney Knowlton Christian Fields Nash Street Studdal Haine Cliftonville Trench Wood Milebush West Cliffe Little Mongeham Farleigh Green Old Tree Shelvingford Gadshill Borough Green Golford Edenbridge The Freehold Whitehall Addlestead Offham Gill's Green Gold Street West Minster Loose Hill Payden Street Dover Stockbury Farthingloe Stonebridge Green Sandway Chalksole Milton Goathurst Common Shalmsford Street Nash Ridgeway Mereworth Knox Bridge Waterman Quarter Bean Gover Hill Sole Street Sheerness Yelsted Pipsden Lower Bush Parkgate Chipstead Denton Cock Street South Alkham The Harbour Winterbourne Brook Street Kennington Lees Wanshurst Green Newtown Henwood Green Ospringe Hoo St Werburgh Chattenden Marsh Green Swanley Village Bexon Barfrestone Leigh Acton Shelvin Loose Grigg Preston East End Shipbourne Lower Cox Street Seal