Administration Order

An Administration Order is a legal process that occurs when a company is in financial trouble but has a chance to recover. A court appoints an administrator to take control of the company’s operations and assets. The administrator's goal is to restructure the business and find ways to pay off creditors. During this time, the company's debts are put on hold, and the focus is on stabilizing the business. If successful, the company can continue to operate; if not, it may ultimately lead to liquidation, where the assets are sold off to settle debts.