Not precisely – insolvency practitioners are not the same as a liquidator, but they can act as one. A liquidator is one of many of the roles an insolvency practitioner takes on depending on the circumstances of a case. There are many roles that insolvency practitioners take on in order to help their clients during times of financial distress effectively, and the role of the liquidator is just one of many.
When insolvency practitioners act as a liquidator, their role is to recognize the company’s assets and to ensure that they are appropriately distributed to its creditors. Other roles that insolvency practitioners will take on for the success of a case include administrator, or nominee, and supervisor. An insolvency practitioner will be appointed as the administrator of a company during both administration and pre pack administration cases. They can also become nominees and supervisors should the case require it. Ultimately, an insolvency practitioner’s job is to be exactly what the case warrants them to be.
You can learn more about insolvency practitioners by visiting Bridge Newland.
