LIFE AFTER A PETITION?

To be served with a winding up petition is a heart-stopping moment in the life of any company director. To learn that the petition has been advertised (in the London Gazette) will in the majority of cases, be the point of no return. There is however a chance of having the petition dismissed by the Court in favour of either administration or a CVA, provided immediate steps are taken to deal with the matter. Businesscare has compiled the following flow-chart which maps out the respective steps in each insolvency “escape route”. It is important to remember that in all cases where a petition has been advertised, time is of the essence if the company is to avoid being wound up by the Court.