Company Distress
Doesn't Mean Director Destruction

The insolvency industry profits from your fear. We expose their practices, reveal the data they hide, and show you the options they won't.

See The Truth
78%
Of all company insolvencies in 2025 are CVLs — an IP-controlled process
Insolvency Service, Feb 2026
£650/hr
Top rate charged by IP partners — 76% bill on a time-cost basis you can't challenge
Anderson Brookes, 2025
71%
Of 2024-25 director disqualifications were for Covid loan abuse — not genuine misconduct
Insolvency Service, 2025
23,938
Company insolvencies registered in 2025 — each one a director whose options were controlled by an IP
Insolvency Service, Dec 2025
Intelligence Briefing

What Insolvency Practitioners Won't Tell You

These facts come from government data, academic research, and regulatory filings. Most directors never see them.

IP Fees Exceed Total Assets

A typical CVL costs £4,000–£10,000+ upfront. IP partners charge up to £650/hr and 76% bill on a time-cost basis. Unsecured creditors almost never see a penny — but the IP always gets paid first.

Anderson Brookes / Insolvency Service, 2025

The Secret Investigation Machine

54% of all CVLs are 'sifted in' for director conduct investigation. The IP reports on you within 3 months — and cannot tell you they've done so.

CFS IP — Director Conduct Reporting

The Referral Fee Machine

Most 'free advice' websites are lead generation operations. The FCA banned IVA referral fees in 2023 after finding advisers pushed unsuitable products for ~£940 per referral. The same model now drives CVL recommendations. 78% of all 2025 insolvencies were CVLs.

FCA PS23/4 / Insolvency Service, Feb 2026

Creditors Have No Power

Government review found unsecured creditors 'have no influence at all' over IP fees. A former IP admitted: 'Creditors have no idea whether the remuneration ask is reasonable.'

UK Government IP Fees Review
Know The Playbook

How the Insolvency Industry Really Works

IPs aren't a charity. They're a commercial business with commercial incentives — and a serious conflict of interest when advising you.

Fear Is Their Sales Tool

The first thing many IPs do is tell directors they face personal liability, disqualification, or even criminal prosecution. These scare tactics are designed to rush you into appointing them before you've explored any alternative. Don't let anyone — regardless of their credentials — use fear to push you into a decision that primarily benefits them.

You're Paying From Day One

A typical CVL costs directors £4,000–£10,000+ upfront, paid from your own pocket. Once appointed, IP partners charge £375–£650 per hour. In 76% of cases they bill on a time-cost basis — meaning the longer it takes, the more they earn. Creditors rarely see a penny, but the IP always gets paid first.

The Conflict of Interest Nobody Mentions

IPs have a commercial incentive to liquidate your company. Liquidation generates guaranteed fees. Helping you survive doesn't. When the person advising you on whether to close your company is the same person who profits from closing it, that isn't independent advice — it's a conflict of interest baked into the system.

Share Sales Are Legitimate — They Won't Tell You That

Selling shares in your company is a perfectly legal transaction that happens every day. Yet many IPs will discourage or disparage this option because it removes the company from their control. A share sale can protect jobs, preserve value, and give the director a clean exit — without an IP taking a fee from every step.

"Don't let anyone — regardless of their credentials — use fear to rush you into a decision that primarily benefits them."

Director Freedom

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