Pre-packaged administration

Pre-packaged administration, or pre-pack, is a process used in business insolvency where a troubled company arranges for its sale before formally entering administration. This allows the new owners to take over the business quickly, minimizing disruptions and preserving jobs. The deal is negotiated in advance, so when administrators are appointed, the transaction can be completed almost immediately. This approach helps to maximize the value of the business and often results in a smoother transition, retaining business operations under new ownership while managing debts and obligations.