Individual Voluntary Arrangement ("IVA")

In short an offer is made to your creditors which is better than they would receive in bankruptcy.

An Individual Voluntary Arrangement ("IVA") is a recognised legal procedure that enables an individual to enter into a binding agreement with their creditors detailing how that individual's debts and liabilities will be dealt with; it allows an individual to retain control of his/her business or continue life as normal.

In essence; an IVA allows individuals with cash flow difficulties to repay his liabilities; either in part or full depending on what they can comfortably afford (including the Inland Revenue and VAT) over a period of time.