Sustaining a company voluntary arrangement
The moment a company voluntary arrangement has been accepted, the managers need to do everything possible to ensure that the business thrives and the terms of the arrangement are met and sustained. It is often advisable to consider a reshuffle or change in management, which will be able to bring new ideas and energy to the business. This does not necessarily mean a complete dismissal of the incumbent employees.
However, at least one new manager should be brought in. The business may also require additional capital to invest in new business development projects. On this, the company insolvency practitioner should be able to advise.
Fees associated with a company voluntary arrangement usually consist of the insolvency practitioner’s fees, which are payable as part of the ongoing payments that the business makes into the CVA. As such, the company does not have to pay extra fees besides the agreed CVA remissions.