NAVY, Deed of Company Arrangement PURPOSEThe purpose of a Deed...

NAVY,

Deed of Company Arrangement
PURPOSE

The purpose of a Deed of Company Arrangement is to formalise a proposal made by the directors during the Voluntary Administration, which has been ratified by creditors. A Deed of Company Arrangement is a legally binding document between the company, its creditors and the Administrator.

BENEFITS

It allows the implementation of a revised business plan and strategy to return the business to profitable trading.
The flexible nature of the proposal (i.e. the form and content of the Deed of Company Arrangement can be composed in any manner the company wishes, subject to approval by creditors).
It provides a greater return to creditors than would otherwise be available if the company were placed into liquidation.

Deed Administrator for many companies have worked with the company to see business profitability restored and creditors receiving substantially more than they would have otherwise received.


Jeff