Restructuring, Turnaround and Insolvency Specialists

Voluntary Administration (VA) / Deed of Company Arrangement (DOCA).

The process of voluntary administration might seem a dark prospect but at Brooke Bird we specialise in making it as easy and as stress free as possible. Voluntary administration is an insolvency process where the directors of a financially-troubled company, or a secured creditor with security over most of the company’s assets, appoint a voluntary administrator.

Upon appointment, the voluntary administrator takes control of the company’s assets and affairs and is the only one with the power to bind the company. The voluntary administrator will:

  • Trade the company’s business if appropriate
  • Identify, secure and realise the company’s assets
  • Conduct preliminary investigations into insolvent trading, preferential payments and other voidable transactions

The Voluntary Administrator will then report to creditors on the company’s business, property, affairs and financial circumstances and provide their opinion to creditors on whether the company should:

  • Enter into a Deed of Company Arrangement;
  • Be liquidated; or
  • Have control of the company returned to its directors.

The Corporations Act states that the objective of the voluntary administration process is to:

  • Maximises the chances of a business to continue to exist, or:
  • Results in a better return for the company’s creditors and members, than from an immediate winding up of the company

Why choose Voluntary Administration?

Deeds of Company Arrangement

A Deed of Company Arrangement allows a stricken company to come to a cost-effective formal arrangement with its creditors to try to remedy its financial problems without having to liquidate the company. At Brooke Bird, we have the necessary expertise to ably handle this type of administration.

Click HERE for relevant ASIC information sheets.

 

 

Liability limited by a scheme approved under Professional Standards Legislation