Your Questions
A pre-pack is a deal for the sale of the insolvent company assets which is concluded before the company is placed into a formal insolvency procedure, which is usually the Administration process. The deal is usually agreed prior to the appointment of an Insolvency Practitioner but is executed by the Insolvency Practitioner shortly following his appointment.
The cost of the services provided is dependent on both the size and type of the insolvency assignment and is quoted on a job by job basis. However, the first consultation is always free of charge.
If the company has ceased to trade, the employee should complete an RP1 form which will be sent to all employees with the notification of the appointment of the Insolvency Practitioner. This form can also be obtained from the Department for Business, Enterprise and Regulatory Reform (BERR - formerly DTI) or the Redundancy Payments Office. Details of what may be due to you can be found on the RP1 form.
