What is a company voluntary agreement?

The Company Voluntary Agreement (or CVA) has been in force for the last 20 years. It is very important as it provides business solutions to companies struggling under a financial crisis. The company voluntary agreement is a contract between the insolvent business and their creditors who are giving credit to their venture. The contract deals with the repayment of the company’s debt to the creditors along with the profits earned. It is a solution for those companies who don’t want to go bankrupt and in this way the creditors will also get back the money they have paid for the venture.