Personal Insolvency & Winding Up

Insolvency and winding up involves a complex set of rules and regulations. Where circumstances allowed, alternative solutions on solving certain personal or company financial problems may secure a better form of resolution. Corporations/Companies have perpetual succession until wound up or dissolved.

Individual Voluntary Arrangement (IVA) and Personal Bankruptcy

To get rid of onerous personal debts and financial obligations, one may consider Individual Voluntary Arrangement (IVA) or personal bankruptcy.

What is the best option? For example, if one is on long-term unemployed, choosing bankruptcy may be a better option. If, however, one is in a stable employment and wants to avoid the fate of bankruptcy and an unsound personal credit history, IVA is definitely more appropriate. The procedure one choose is based on individual and personal circumstances.

Deregistration/Strike Off and Winding Up

Where a company is solvent, the stakeholders may consider adopting deregistration/strike off process or even winding-up voluntarily which is more straightforward, simple and less costly.

Where a company is insolvent, the shareholders and management of the company may have to end the business by compulsory/creditors’ winding-up process.

Throughout the winding-up process, professional help shall be needed in order to adhere to the prescribed legal framework and procedures on collection, realization and distribution of assets, and to ensure the rights and obligations of involving parties are duly observed.

Contact us for your concern.