Quandaries on debt arising from company insolvency

capndebt

Hi All,
Newbie here and not sure if this is the right forum to be posting about my situation - so apologies if I've got it wrong.

I'm an (ex) director of a company that is currently going through a CVA. My co directors and I founded and ran the company for a long period of time through good times and bad. We signed directors guarantees against the company's overdraft facility back in the dim and distant past and more recently against other company credit facilities taken out to help ue make it through what we thought was another temporary setback (sadly it proved terminal).

We're now faced with a situation where the outstanding debt under the facilities have been referred to debt recovery services, everything seems fairly straightforward but I am getting a little concerned regarding the 'joint and several' nature of the liability, and the potenial scenarios that might play out with regard to debt repayment amongst the different players (or payers) - is it normal in these circumstances:

1) For each joint and several guarantor to negotiate their own settlement, or have some shared arrangement?
2) For the debt to be split evenly or on some other basis?

Also, what typically happens if one or more of the guarantors is unwilling to agree on their share or unable to meet the agreed payment schedules once they have been agreed given the several nature of the debt, is there any redress?

Thanks in advance , and once again apologies if I've inadvertently posted in the wrong forum....
      

Grumpelstiltskin

You should contact Business Debtline.

Debt advice | Free Debt Advice and Support | Business Debtline

You will find they are busy.

sourcrates

Due to the complexities involved, we can really only advise on personal debt.

You will need specialist advice from Business debtline on the link above.