Routes into a protected trust deed
There is no requirement to be ‘apparently insolvent’ (see here) before signing a trust deed as with bankruptcy. The signing of the trust deed itself constitutes apparent insolvency.1s16 B(S)A A client simply makes an appointment with an insolvency practitioner (or is referred by an adviser) and, after discussion as to its suitability and after taking time to consider it, agrees to sign the trust deed.
Advisers can refer on to an insolvency practitioner if they think the client would benefit from it. If they do, they should ensure that there is some follow up on the referral and check that the client is happy with the agreement. You should also receive confirmation that the trust deed has gained protected status.
Most advisers already have prepared a statement of income and expenditure, assets and liabilities with the client to make the insolvency practitioner’s job easier. This could form the basis of the trust deed if the trustee agrees.