The partners of this firm had concerns about their own personal liabilities, if the partnership were to cease trading. They do not have the protection of limited liability as directors of companies do and as a consequence any debts not paid would become the personal debts of the partners.
It was therefore important to protect the recovery for creditors and also the position of the partners. If the partners did become liable for the debts there was a possibility that this would have resulted in them being made bankrupt.
Read the full article on our sister site, Cashsolv, to find out the steps that were taken to make this successful.