What is an Insolvency Practitioner? The answer to this question is not as easy as perhaps you might think it should be. In simple terms, an Insolvency Practitioner (IP) is a person who is qualified to give advice to individuals and businesses in relation to their debts, and then help in dealing with them, sometimes by way of a formal Insolvency Process (e.g. bankruptcy, liquidation etc.)
How can an Insolvency Practitioner help?
Insolvency Practitioners are highly professional people, quite often accountants or lawyers, who have chosen to specialise in the technical area of Insolvency. They are either qualified by way of exam or, although much less commonly, by experience. They are licensed to act by an authorising body who is then responsible for the ongoing regulation and monitoring of the IP to ensure that they are acting legally and appropriately. Generally, an Insolvency Practitioner will deal with either Personal Insolvency, which is in relation to an individual person’s credit cards, loans and other debts, or Corporate Insolvency, which concerns the debts of a business or company. However, most IP’s will have the knowledge to deal with both. Most will be happy to provide initial advice on a particular situation free of charge and a list of qualified Practitioners can be found on the Insolvency Service website. A good Insolvency Practitioner will ensure that you fully understand the advice being given and the reasons why an insolvency process, such as going into administration, is being recommended. They will rarely ask for money ‘up front’, but if they do, they will ensure that you understand the reasons for this being required. If any of these are not being met, then you should walk away and find an alternative advisor.
Get in touch with The Insolvency Experts
To receive professional business debt advice from one of the Insolvency Practitioners at The Insolvency Experts today, please get in touch. Contact us online or speak to us directly by calling us on 0300 303 8284. We understand how stressful it can be to face financial difficulties and can help your business to choose the best course of action.