Factsheet 10 in the Global Economic Downturn series entitled – The facts on voluntary administration provides guidance on how to recognise when a company will become insolvent and considering voluntary administration as an option in these circumstances.  
 
Author of the factsheet, Michael Jones BA FCA, from Jones Partners Insolvency and Business Recovery, says that ultimately 'it is (the) directors' responsibility to exercise powers and duties in good faith and in the best interest of the company.'  
 
Karen McWilliams, Manager of Chartered Accountants in Business, said, 'This factsheet will assist those wanting a logical step-by-step guide on the indicators of insolvency as well as a better understanding of the voluntary administration process. The Institute is committed to providing members with ongoing practical tools on the key issues to come out of the current economic environment.'  
 
The suite of global economic downturn factsheets are published on the Institute’s website in the section dedicated to global economic downturn resources.  
 
 
 
Relevant links:

• The Institute: factsheet ten – The facts on voluntary administration
• The Institute: factsheet nine - Use of beta and discount rates in Discounted Cash-Flow analysis
• The Institute: factsheet eight - Change management in tough times
• The Institute: factsheet seven – Using EBIT multiples
• The Institute: factsheet six – Enforcement of judgment debts
• The Institute: factsheet five – Banking on relations
• The Institute: factsheet four – Part two, insolvency
• The Institute: factsheet four – Part one, insolvency
• The Institute: factsheet three – Discounted cash flow analysis
• The Institute: Guidance document on impairment to accompany factsheets three and seven
• The Institute: factsheet two – Employee matters
• The Institute: factsheet one – Trim the fat not the staff
• The Institute: Global economic downturn resource page
• The Institute: Tax Planning Day.