An IVA is a scheme that allows an individual to make an offer to his creditors that he will repay them a proportion of the amounts that they are owed, over some period of time and out of the proceeds of, for example, future earnings or assets sales etc. This is a private agreement between the individual and his creditors although it is legally binding on all creditors once a majority of them have agreed.

Whilst the IVA is being formulated, the individual can apply to Court for an interim order preventing his creditors from taking any action to enforce their debts whilst the proposal is being worked out.

An IVA is an alternative to bankruptcy although it is possible for an individual who is bankrupt to propose an IVA to his/her creditors or for an individual who has proposed and had an IVA agreed by his creditors to be made bankrupt.

An individual who has an IVA underway could be made bankrupt if he fails to stick to the terms of the IVA.

An individual would normally propose an IVA to his creditors and appoint a Licenced Insolvency Parctitioner to be his Nominee.

The Nominee will look at the proposals and report to the Court on the feasibiity of those proposals in terms of being able to achieve the repayments to creditors.

The individual is required to apply to the Court for the Interim Order.

The IVA proposals must be agreed to by a majority in value of creditors for it to have affect and, once agreed, binds all creditors.

Request a copy of the full Gore and Company IVA Papers.

How can Gore & Company help:

A Gore & Company Licenced Insolvency Parctitioner will help you to formulate your proposals and make the relevent applications to the Court. This includes helping you to draft the proposal, establish a statement of affairs that sets out a summary of your assets and liabilities and then act as Supervisor helping you to implement the proposal and make it work.

The success of an IVA is critically dependent upon the individual generating sufficient funds to be able to pay creditors an amount of money over some period of time. Gore & Company will work with you to make sure that proposals are realistic and achieve the ultimate objective of allowing you to deal with the immense pressures that accompany financial difficulty.

Contact us for a free consultation or free initial business review.