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JLA Insolvency & Advisory

Knowledge Centre

Plain-English resources for directors, creditors, employees and stakeholders trying to understand insolvency processes and notices.

Director Resources

For directors facing financial pressure.

Directors often seek advice when cash flow becomes tight, creditor pressure increases, ATO debt builds, or there is uncertainty about whether the company can continue trading.

  • Understand whether the company may be insolvent or approaching insolvency.
  • Review creditor pressure, statutory demands and legal threats promptly.
  • Consider the risks of continuing to trade without a clear plan.
  • Get advice before making major payments, asset transfers or commitments.
  • Keep accurate financial records and board decision notes.
Creditor Resources

For creditors owed money.

Creditors may need to understand whether to lodge a proof of debt, attend a meeting, vote on a proposal or monitor liquidation and administration notices.

  • Read any notices carefully and diarise deadlines.
  • Gather invoices, contracts, statements and proof of supply.
  • Submit a proof of debt if requested by an administrator or liquidator.
  • Consider attending creditor meetings where important decisions are made.
  • Seek advice if the debt is significant or disputed.
Employee Resources

For employees affected by insolvency.

Employees may be concerned about unpaid wages, leave, redundancy, superannuation, ongoing employment and how they rank in an insolvency process.

  • Keep payslips, employment contracts and leave records.
  • Review communications from the administrator or liquidator.
  • Understand whether the business is continuing to trade.
  • Monitor employee creditor meetings or specific notices.
  • Seek advice if entitlements are unclear.
Insolvency Notices

Understanding ASIC insolvency notices.

Insolvency notices are formal public notices that record key events such as appointments, meetings, proof of debt deadlines, dividend intentions, court applications and deregistration steps.

  • Appointment notices indicate an external practitioner has been appointed.
  • Meeting notices advise creditors or members of upcoming decisions.
  • Proof of debt notices may require creditors to submit claims by a deadline.
  • Dividend notices may indicate that funds may be distributed to creditors.
  • Court and winding up notices should usually be treated as urgent.
FAQ

Common questions.

Does insolvency mean the business must close?

Not always. Some businesses continue trading during an administration, receivership or restructuring process where that is appropriate.

When should a director get advice?

As soon as there are signs the company may not be able to pay debts when due. Early advice generally preserves more options.

Can creditors still recover money?

Possibly. Recoveries depend on the company’s assets, creditor priority, claims and the outcome of the process.

Is this page legal advice?

No. It provides general information only. Specific advice depends on the facts of the matter.

Glossary

Plain-English insolvency terms.

AdministratorAn independent practitioner appointed to control a company during voluntary administration and report to creditors.
LiquidatorA practitioner appointed to wind up a company, realise assets, investigate affairs and report to creditors.
ReceiverA person appointed to control and realise secured assets, often by a secured creditor.
Proof of DebtA formal claim lodged by a creditor to prove the amount owed by a company.
DOCAA Deed of Company Arrangement, being a proposal creditors may accept as an alternative to liquidation.
Statutory DemandA formal demand for payment that can have serious consequences if not dealt with within the required timeframe.
JLA Assistant Confidential first step — no advice, just connection.
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Full report can include:
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  • Court event details
  • Related entity intelligence
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