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Definition
A company voluntary arrangement is a formal agreement, supervised by an insolvency practitioner, under which a company repays creditors a proportion of what it owes over a set period. It needs 75% (by value) of voting creditors to approve.
In plain terms
It is a structured "pay what we can, over time" deal that keeps the company alive and the directors in charge, provided the business is fundamentally viable.
Why it matters for your company
A CVA can be a lifeline for a solvent-but-illiquid business, but it flags on your credit file and needs a realistic plan. Take advice early. See debt restructuring options.
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Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.