Byrne Associates are specialists in all matters of bankruptcy and can advise you of the best way forward. Find out more about the process involved when an individual goes bankrupt below.
Where there are insufficient assets to meet liabilities and the sole tradership business is not viable, bankruptcy relieves the individual from their debts (subject to certain exceptions).
Bankruptcy proceedings start with the making of a Bankruptcy Order by the Court.
An application for an Order can be made by any creditor owed more than £750 or by the individual himself.
When a person becomes bankrupt, the control of his assets passes to the Trustee in Bankruptcy (an insolvency practitioner or the official receiver), whose job it is to sell them and distribute the proceeds to creditors.
The bankrupt is usually discharged from bankruptcy automatically after one year, or sooner if the official receiver decides.
Please find further information about Bankruptcy in Publications.
