Company Voluntary Arrangement Support & Guidance

Struggling with business debt? A Company Voluntary Arrangement (CVA) can help your company restructure liabilities, reduce creditor pressure, and continue trading.

At Henderson Loggie, we provide expert, practical advice to help businesses navigate financial challenges and achieve long-term stability.

Speak to our Business Recovery and Insolvency team

What is a Company Voluntary Arrangement?

A Company Voluntary Arrangement (CVA) is a legally binding agreement between a company and its creditors to repay debts over an agreed period, typically three to five years.

It is a formal insolvency solution that allows a business to:

  • Continue trading while repaying debts
  • Compromise unsecured creditor claims and provide a structured framework for dealing with creditor pressure
  • Pay affordable monthly contributions
  • Write off remaining unsecured debt at the end of the arrangement

In simple terms: A CVA is a structured business debt repayment plan that protects your company while you recover financially.

Speak to a CVA Specialist

Is a Company Voluntary Arrangement Right for Your Business?

A CVA may be suitable if your business:

  • Is facing cash flow challenges or creditor pressure
  • Has HMRC arrears, supplier debts, or rent liabilities
  • Remains fundamentally viable
  • Wants to avoid liquidation or administration
  • Can commit to a realistic repayment plan

A successful CVA depends on having a sustainable business model and achievable financial forecasts.

At Henderson Loggie, we assess your situation carefully and provide clear, honest advice on whether a CVA, or an alternative solution, is right for you.

Find Out if a CVA Is Right for You

The Company Voluntary Arrangement Process Explained

1. Business Review

A full assessment of your financial position, debts, and future viability.

2. CVA Proposal Preparation

A detailed proposal is created outlining affordable repayments, the repayment timeframe, and how creditors will be treated.

3. Insolvency Practitioner Appointment

A licensed insolvency practitioner (IP) is appointed to act as nominee and later supervisor.

4. Creditor Vote

Creditors vote on the proposal. Approval requires 75% (by value) of creditors who vote to agree. In practice, support from key creditors, particularly HMRC where tax arrears are involved, is often critical to the success of a proposal.

5. Implementation

Once approved, the CVA becomes legally binding, creditor pressure and legal action cease, and monthly payments begin.

6. Completion

After completing the CVA, any remaining unsecured debt included in the arrangement is written off.

Why Do Some CVAs Fail?

A CVA can fail if the company cannot maintain the agreed contributions or loses a major customer. Furthermore, it may fail if the company experiences further cash flow difficulties or fails to meet ongoing tax obligations. For this reason, developing realistic financial forecasts and obtaining early professional advice are critical.

Why do some CVA’s fail

Why Choose Henderson Loggie for Company Voluntary Arrangement Advice?

Choosing the right advisor is critical when dealing with financial distress. At Henderson Loggie, we offer:

  • Specialist expertise in insolvency and restructuring
  • Clear, practical advice tailored to your business
  • Strong experience working with HMRC and creditors
  • End-to-end support throughout the CVA process
  • A trusted Scottish firm with UK-wide experience

We focus on helping you make informed decisions and achieve the best possible outcome for your business.

FAQs About Company Voluntary Arrangements

A CVA typically lasts between 3 and 5 years, depending on your company’s financial situation and repayment capacity.

Costs vary depending on complexity but usually include insolvency practitioner fees, which are built into the monthly repayment plan.

  • Continue trading during the arrangement
  • Protection from creditor action
  • Reduced overall debt
  • Structured, manageable repayments
  • Helps preserve jobs and business value
  • Requires strict adherence to repayment terms
  • Public record of insolvency
  • May affect your business credit rating
  • Not all creditors may agree

Yes. A key benefit of a CVA is that the business can continue trading while repaying its debts.

If a CVA fails, creditors may take further action, which could lead to administration or liquidation.

Yes. HMRC is often one of the largest creditors in a CVA proposal and its support can be important to achieving approval. HMRC will typically expect future taxes to be paid on time and the proposal to demonstrate that the business is viable.

Directors remain in control of the business but must comply with the terms of the CVA and meet their legal responsibilities.

Yes. A licensed insolvency practitioner is legally required to prepare, propose, and supervise a CVA.

Yes. CVAs are available in Scotland under UK insolvency law, although some procedural aspects differ.

Company Voluntary Arrangement Case Studies

Read some of our recent case studies and discover how we’ve helped clients overcome financial difficulties, manage insolvency processes, and achieve positive outcomes. If you’d like to discuss your situation, please get in touch.

CVA Case Study: Helping a Profitable Consultancy Business Avoid Liquidation Posted

Testimonials from our clients

I have worked with Shona Campbell and her team on restructuring and insolvency mandates for many years. I value her pragmatic, commercial and innovative approach highly. I consider her to be a trusted advisor that I recommend to companies needing support.

Solicitor, Restructuring and Business Advisory

Shona Campbell and her colleagues were extremely helpful at a very stressful time. She had a wide range of knowledge and understood how the third sector works, which isn’t always the case. I’d be happy to recommend her services.

Senior Representative, Third Sector Interface

Shona and her team provided robust advice around the steps required prior to the liquidation so that matters could be dealt with in an efficient manner as possible. The advice was also provided around directors duties and the different legal positions of shareholders, creditors and directors.

The whole liquidation process was smooth and the liquidation itself concluded within 7 months.

Shareholder and Creditor

Moy Burn Company Limited

I would like to thank you for completing the liquidation of my company. From my perspective the whole process was simple and I am grateful to you all for making it that way.

I was pleased that the cost was exactly as stated at the outset and the liquidation was completed in just over 6 months.

Director and Shareholder

The team are very knowledgeable, quick to respond and good with clients. They give commercial, sound advice and you feel you are in safe hands when dealing with them.

Solicitor, Commercial Litigation and Insolvency

An empathetic, professional and highly knowledgeable team at a challenging time.

Director, Biopharmaceutical Company

Simple, plain advice, quick response times, and hassle-free – I’ve already recommended them.

Family Shareholder

Business Recovery & Insolvency Articles

Have a look through some of our most recent content. If you would like to speak to us further on any of the topics then please get in touch.

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What Happens If You Can’t Pay HMRC? Your Options Posted
What If a Company Voluntary Arrangement (CVA) Fails? Posted

Meet Our Specialist Insolvency Team

Shona Campbell

Shona Campbell

Chair & Partner

I am Chair of Henderson Loggie and head up the firm’s Business Recovery and Insolvency team. I have over twenty-five years of experience advising businesses, the majority of that time dealing with businesses facing some…
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Lianne Fraser Lusher

Lianne Fraser Lusher

Manager

I am an ACCA qualified Manager in the Business Recovery & Insolvency team and joined Henderson Loggie in 2020.  I have 13 years’ experience in administering and managing corporate insolvencies (Administrations, Court and Creditors’ Voluntary…
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Lynn Barr

Lynn Barr

Assistant Manager

I am an ACCA qualified Assistant Manager within our Business Recovery & Insolvency team and have been working in the Insolvency profession for over 20 years, after graduating from University. I was initially involved in…
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Kirstin Drummond

Kirstin Drummond

Assistant Manager

I am an Assistant Manager within the Business Recovery & Insolvency team, qualified to CPI level, and I joined Henderson Loggie in 2022.  I have over 24 years’ experience in the administration of Personal Insolvencies…
Read More

Speak to Henderson Loggie

If your business is facing financial pressure and you’re considering a Company Voluntary Arrangement, our experienced restructuring and insolvency specialists are here to help. In addition, we can meet with you in person, arrange a Microsoft Teams meeting, or speak with you over the phone. Our aim is to understand your circumstances and provide clear, practical advice.

We do not charge for an initial consultation, and there is no obligation to proceed with our services following that discussion. To speak with a member of our team, please contact us on 01382 200055.