A charge ( www.practicallaw.com/A34644) taken over all the assets or a class of assets owned by a company or a limited liability partnership ( www.practicallaw.com/2-107-6762) from time to time as security for borrowings or other indebtedness. The advantage of a floating charge is that before insolvency it allows the charged assets to be bought and sold during the course of a company's or limited liability partnership's business without reference to the chargeholder. The floating charge crystallises if there is a default or similar event. At that stage, the floating charge is converted to a fixed charge ( www.practicallaw.com/A36112) over the assets which it covers at that time. If default occurs, depending on when the floating charge was created, the chargeholder may be able to appoint an administrative receiver ( www.practicallaw.com/A35781) or an administrator ( www.practicallaw.com/2-107-6366) .