How are the unsecured creditors and unsecured distressed debtors sourced?

Unsecured creditors and unsecured distressed debtors are based on ‘The Statement of Affairs’ document filed with Companies House by the distressed company.

A statement of affairs is a record of a company’s financial position at that particular moment. This listing of assets and debts serves as an explanation of how the business is insolvent. Creditors can look at the statement of affairs and see that the business is unable to service their debt properly. 

This document’s main function is to determine who is owed money by the business and help to identify those who should be given priority in their repayment.

Statement of Affairs example 1

Statement of Affairs example 2