Insolvency – Security and its enforcement
We regularly advise organisations and individuals on loan arrangements with companies which include taking security over assets in case the borrower defaults on the repayments and becomes insolvent. Clients range from banks, finance companies and private debenture holders to shareholders who have taken security for deferred consideration following a business sale or directors who have lent money to a company and require security.
We provide advice on the different types of security available and how effective each type will be in each situation. We draft security documentation and register this where required and we advise clients on how to enforce the security and the different enforcement options available to them.
Types of security
The main types of security that are granted are charges (fixed and floating) on a variety of assets , mortgages and pledges.
When deciding whether to take security and what security is appropriate, the lender must consider a number of factors.
We have a wealth of experience of advising on all types of security and can offer clients legal and commercial advice on their situation.
If you are loaning money to a company or if you are struggling to obtain repayment of an existing loan please get in touch.