money}). They will agree to these claims only after they have been able to arrange for the necessary funds to be collected. In some instances they may even get a creditor to accept lower amount as full payment.
However,in some cases,after reviewing the situation of the business in detail,commercial insolvency practitioners may advise the business that the only way forward would be to start a formal insolvency process.
Any insolvency practitioner has to have an accounting qualification,whilst also of course having to be very good at manipulating numbers. They must also be able to understand and analyse the balance sheets and books of a company,in order that they can get a real idea of the financial situation of the business that they have been called upon to assist. The number of laws that that govern insolvency and the practitioner are many and all must be fully understood. The practitioner also needs to be able to apply them to the situation they find. Being a great communicator is also a pre-requisite skill,as they have to discuss matters with lots of different people,some of which will have a stake in the company,with others who are its creditors and want their money. Only when they have gained an understanding into how the insolvent company is working can they go onto make their findings known to all interested parties. This is achieved through the use of well-drafted reports that analyse the actual situation,whilst also at the same time suggesting the way forward
A high degree of confidentiality has to be maintained all through the entire process,as their findings,may,if they leaked cause damage to the company they are trying to assist. They also have to ensure that their advice is made on only commercial and practical considerations,all the time being within the law. Another important attribute they must have is that of sales skills,this being needed in order that they can obtain the highest value for any assets that they need to sell.
Please see this very useful post for more information