Annulment in accounting refers to the cancellation by a court of a bankruptcy order, under certain conditions such as wrongful bankruptcy declaration, full repayment of debts, or court-approved voluntary arrangement.
A composition in accounting refers to an agreement between a debtor and creditors, where the debt is partially forgiven in exchange for a proportion of what is due. This can be formalized through a deed of arrangement or an individual voluntary arrangement.
An insolvency practitioner is a qualified professional tasked with handling financial instability and administration processes such as liquidation, administration, or voluntary arrangements.
A Scheme of Arrangement is an agreement between a company and its members or creditors to restructure the business or debts, often used during financial difficulties or takeovers and requires court sanction.
A detailed examination of Company Voluntary Arrangements (CVA) and Individual Voluntary Arrangements (IVA) as defined under the Insolvency Act 1986, including their objectives, processes, and key differences.
