Company Administration
Company administration is a legal process designed to help a struggling business stabilize its finances and operations. When a company faces severe financial difficulties or cannot pay its debts, it can enter administration. A licensed professional, known as an administrator, is appointed to oversee the company's affairs. The administrator's goals are to restructure the business, find a way to pay off creditors, or, if necessary, sell the company as a going concern. This process aims to maximize the value for all stakeholders and can provide a more orderly resolution than bankruptcy.
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Company administration refers to a legal process that helps struggling businesses manage their debts and continue operating. When a company enters administration, an administrator is appointed to take control and assess its financial situation. The aim is to reorganize the company’s operations, sell assets, or find new investment to pay off creditors while trying to keep the business running. This process provides protection from creditors for a limited time, allowing the company to stabilize and work towards a viable solution without immediate threat of bankruptcy.