Our insolvency solicitors in Manchester are ready to provide their legal services to both natural persons or companies that are in a financial distress. Insolvency refers to a financial situation in which an entity, regardless of its legal personality, is no longer able to repay its debts to lenders and creditors. This can happen due to a lack of a constant cash flow or due to other financial reasons.
In this case, the person facing insolvency will typically address to insolvency solicitors in Manchester for the purpose of creating a suitable financial plan that will restart their financial situation. Not dealing with this issue in due time can lead to the bankruptcy of an entity and this is why it is best to address immediately to our Manchester solicitors, who can advise you on the legal options you can have in this case.
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Legal assistance in personal insolvency in Manchester
Our insolvency solicitors in Manchester can provide two basic types of legal services when referring to insolvency – legal services designed for natural persons, who are private individuals facing insolvency or bankruptcy due to various financial situations, such as unemployment, reckless spending compared to the monthly or yearly income and other cases that can appear in one’s life; the other type of legal service refers to legal assistance for corporate insolvency cases. When we refer to personal insolvency, our lawyer in Manchester can help in the following ways:
- our lawyer can help you create a debt management strategy that aims at changing the way in which you spend your income, which is a common issue for which individuals end up being insolvent;
- help you establish an Individual Voluntary Agreement (IVA) with your creditor, through which the repayment of the debt is negotiated in a more manageable manner for the creditor (however, this can be done only in specific cases);
- our insolvency solicitors in Manchester can help you with debt advice, based on your current financial situation and the types of debts you have;
- if you are facing bankruptcy, you can also rely on our lawyers for professional advice;
- depending on your current situation, our lawyers will create a suitable financial plan that can be met by your current income or possible financial options you have (mortgage, credit, etc.).
What are the tendencies on insolvency in the UK?
With regards to the insolvency of natural persons, in the UK has recently been observed an increased trend on unsecured debt, which refers to credit card spending, various types of loans (not related to property loans) and student debt. If you are involved in any of these types of debts, our insolvency solicitors in Manchester can help you. According to the Office for National Statistics, the data on personal debt shows the following:
- the value of credit cards loans and personal loans reached a value of GBP 119 billion in March 2020, accounting for an increase of 11% since March 2018;
- the average financial debt per a UK household was of GBP 9.400;
- without taking into consideration student debt, the value of personal debt is of GBP 87 billion;
- the poorest 10% of the UK households have a debt that is 3 times higher than the value of their assets;
- the wealthiest 10% of the UK households own assets that are 35 times higher than their debts.
How can our Manchester law firms help in corporate insolvency?
The area of law dealing with corporate insolvency is rather extensive, as there are more complex issues and more structures involved. The legislation regulating insolvency and bankruptcy for companies was recently modified in the UK, in the context of the Covid-19 pandemics, in order to provide legal support and financial assistance to companies in financial distress.
Our insolvency solicitors in Manchester can present to you the latest modifications of the law, which aimed at reducing the number of companies becoming insolvent due to the current socio-economic context. The Corporate Insolvency and Governance Act 2020 introduced temporary measures that can be applied to companies, but also permanent regulations.
You can rely on our Manchester law firms for legal representation in numerous areas of law related to corporate insolvency, such as bankruptcy, voluntary liquidation, the liability of directors on insolvency matters, as well as their basic responsibilities in this process, disputes arising between the shareholders and the directors and others. We invite you to contact our insolvency solicitors in Manchester for more information on how we can represent you in this process, depending on whether you need corporate insolvency services or personal insolvency advice.
Please know that after you finish the insolvency procedure of your company, you will be allowed to start again a new business, once you pay any remaining debts.
This right is available for both local and foreign investors. For the latter, our immigration solicitors in Manchester can offer additional information concerning any immigration procedures that may be required.
When you will start a new business venture in this city, you can rely on our employment solicitors in Manchester for information on all the obligations that you have as the employer of local and foreign workforce.
You will need to sign the appropriate employment contracts, register the employees for social security, retain and pay the required employment taxes and provide the rights and benefits prescribed by the law.