C IVA (Company Voluntary Arrangement)

A Company Voluntary Arrangement (C IVA) is a formal agreement between a struggling business and its creditors to settle debts over time. It allows a company to continue operating while repaying a portion of its debts, usually over a period of three to five years. The arrangement is managed by a licensed insolvency practitioner, who helps negotiate terms and ensures compliance. A C IVA protects the company from legal actions by creditors, providing a structured way to overcome financial difficulties while aiming to restore financial stability. This option helps preserve jobs and maintain operations.