What is insolvency?
If your debtor fails to pay on demand, and the original amount remains undisputed, they are deemed insolvent. Insolvency action can be taken against individuals, sole traders, partnerships or companies.
What happens next?
This can be a stressful situation for many creditors, especially if they believe there are others also demanding payment from the debtor. At this stage, many clients turn to the county courts to claim a CCJ.
However, in order to be first in line for prompt payment, creditors can decide to begin bankruptcy proceedings against an individual, or winding up proceedings against a company.
By first serving a winding up petition to the business in question, debtors are often forced into payment. Such petitions are printed in the London Gazette, so the public nature of the announcement often deters debtors from continuing non-payment.
How Cobra can help
Cobra Financial Solutions aim to ensure that you are the priority creditor, so once instructed, we work fast.
First, we begin an extensive profile to ensure there are no prior petitions held against the debtor. We can then move to serve the relevant demand or petition. At this point, debtors will know of your intention to begin bankruptcy proceedings, unless the debt is paid within a set time frame.
Failure to pay the debt at this stage will lead to a bankruptcy petition being served. To avoid further stress on the creditor’s behalf, one of our agents will attend the court hearing.
At this final stage, if the amount remains unpaid, courts will often make a bankruptcy order, and appoint a trustee to oversee the debtor’s financial affairs. The result? Quick, priority payment to lead creditors.
So if you are feeling overwhelmed by the prospect of entering into insolvency proceedings, know that you do not have to go it alone. Cobra Financial Solutions can take the stress away from insolvency.
Cobra can take limited companies as far as liquidation, and individuals to bankruptcy. Costs vary depending on the work involved in each case. Some are more complex than others. So we determine final fees on a case-by-case basis.
To discuss your case in detail, and to receive further advice and support, then call the Cobra team today.
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- One of the highest success rates in the industry
- Cases actioned within 24 hours
- Quick and cost effective
- Offices and agents across the UK
- Unrivalled customer service
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- Vast portfolio across both the private and public sector
- 75 years’ combined experience in the industry
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- We only take cases we know we can win
What we do
Cobra Financial Solutions are a specialist debt collection agency, collecting for both businesses and individuals. Our approach to debt collection is simple: no-nonsense and no excuses.
With our 75 years’ combined experience, we have a proven track record of success: one of the highest in the industry. And thanks to hundreds of validated client reviews, we are the UK’s number 1 rated debt collection agency.
In addition to debt collection, we provide a range of more niche services, from debtor tracing to High Court enforcement. Working for large conglomerates, as well as SMEs and individuals, the team at Cobra meet deadlines, achieve targets and deliver results.
Customer service is at the heart of our ethos. We want our clients to leave us satisfied, and eager to recommend our services to their contacts. So if applicable to your case, you will be appointed a designated account manager, who will keep you updated with all the latest developments. And so that you are in control every step of the way, you can follow the progress of your case live via the client portal.
Here at Cobra, we know that reputation is everything, so relax, knowing that yours is in the safest of hands.