The insolvency priority waterfall
What happens to the funds raised by Insolvency Practitioners (IPs) after they are appointed as Administrators or Liquidators? This is a mystery to almost everyone outside the insolvency
insolvency
Why shareholders come behind creditors in the insolvency queue
Fortunately, few people have any direct experience of a company failure. When they do, the priority ‘waterfall’ for distribution of what’s left in the pot after a business
How business liabilities can balloon during insolvency
Following our first three articles on business devaluation during insolvency, we now turn our attention to the liabilities in the balance sheet. What is often not realised is
How current assets melt away in an insolvency situation
In this third instalment on the devaluation of a business during insolvency, we turn our attention to current assets. These assets can not only shrink alarmingly in value
What happens to non-current assets in an insolvency situation?
In our first article in this series, we looked at the mystery of why apparently solvent companies end up heavily devalued and paying almost nothing to their unsecured
Why does insolvency reduce business value?
One of the great commercial puzzles is why the unsecured creditors of an apparently healthy business end up only recovering pennies in the pound on their debts and