Floating charge

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Revision as of 10:14, 25 January 2014 by Doug Williamson (Talk | contribs) (Added 'winding-up' in see also)

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A charge over the general assets of a company, such as stock.

The assets may change and the company can use the assets without the consent of the secured creditor until the charge 'crystallises' (becomes fixed).

Crystallisation happens on the appointment of an administrative receiver, on the presentation of a winding-up petition or as otherwise provided for in the document creating the charge.

See also