How will an IVA affect my business?

If you run your own business and apply for an IVA, you may find it difficult to get the agreement of your creditors. They will be very wary of you continuing to run your own business and possibly accumulating more credit when you’ve signed up for an IVA as a debt solution.

However it is possible to do this but you would need to be able to demonstrate that your business was profitable and was likely to continue to be for the duration of the IVA itself. Any profit made from your business would be expected to be made available for your creditors.

If you were to be made bankrupt when you had your own business then the scenario is altogether different. Your business would be shut down and any assets would have to be sold off. Your employees would also lose their jobs.

Applying for an IVA when you have your own business can be a complicated process to work out so it’s especially important that you talk everything through with one of our professional debt advisors before making such an important decision.

If you found this answer helpful you may also want to look at the following:

Will having an IVA cost me my job?