Administrative receivers are appointed by the holder of a floating charge (normally a bank) which gives them security over the majority of a company's assets. The administrative receiver has powers to manage the business in order to realise the floating charge holder's security and this may also result in the sale of the business to a third party.
It should be noted that holders of floating charges dated after 15 September 2003 will not be able to appoint an administrative receiver.
For further advice and assistance regarding any aspect of the above insolvency procedure, please contact BRI. We will discuss, free of charge, any further implications and alternatives with you. |
