A Deed of Company Arrangement (DOCA) is a legally binding agreement between a company and its creditors, approved during the Voluntary Administration process. It outlines how the company will satisfy its outstanding debts—typically through instalments, lump-sum payments, asset sales, or third-party contributions—over an agreed timeframe.

The DOCA becomes a contract between the company and all creditors (whether or not they voted for it) and is administered by the external administrator, who becomes the Deed Administrator. The company can continue trading during this time, with close monitoring to ensure compliance with the deed’s terms.

DOCAs are an effective tool to preserve businesses, jobs, and creditor returns in circumstances where liquidation would provide a worse outcome. The proposal must be approved by a majority in number and value of creditors at a meeting called by the Administrator.

Helios Advisory assists directors and stakeholders in formulating practical and compliant DOCA proposals and administers them with transparency and fairness.