Fixed vs Floating Charge Explained: Who Gets Paid First? (UK Company Law)

When a company defaults on a loan, who gets paid first and from which assets? The answer depends entirely on whether the lender holds a fixed or floating charge. Most people have never heard of the difference. It determines everything in a liquidation.

This video covers the full legal framework behind share and loan capital: debenture types, fixed versus floating charges (including crystallisation and the negative pledge clause), creditor priority, share types (ordinary, preference, redeemable, treasury), the four types of share capital explained with a worked numerical example, allotment rules, class rights variation, pre-emption rights, rights issues, bonus issues, and the capital maintenance rules that stop companies paying dividends from capital.

Видео Fixed vs Floating Charge Explained: Who Gets Paid First? (UK Company Law) канала Make It Make Cents