Professional Company Liquidators inAberdeenshire for Your Business

The cost of a Creditors' Voluntary Liquidation (CVL) is usually fixed and can vary depending on the complexity of your company's affairs. A licensed insolvency practitioner will provide a clear fee structure before you commit. The fee is paid from the company's assets, not from your personal funds, in most cases.

Your company is insolvent if it cannot pay its debts as they fall due, its liabilities exceed its assets, or a statutory demand has been served. A licensed professional can help you assess your financial position accurately and confirm whether formal insolvency proceedings are required.

The process begins with a meeting of directors to pass a resolution. Following this, a meeting of shareholders is held to formally appoint the liquidator. The liquidator then takes control of the company's assets, notifies creditors, and manages the distribution of funds according to legal priorities.

The initial appointment can happen within a few weeks of your decision. However, the full process, including investigating affairs and distributing assets, typically takes between six and twelve months. Complex cases with substantial assets or legal issues can take longer to conclude properly.

You can continue trading while you seek advice, but you must not incur further credit if you know the company is insolvent. Doing so could lead to personal liability for wrongful trading. It is vital to speak with a licensed professional immediately to protect your position.

Alternatives include a Company Voluntary Arrangement (CVA) to repay debts over time, administration to rescue the business as a going concern, or informal arrangements with creditors. A licensed insolvency practitioner can explain which option might be viable for your specific circumstances.

Employees are made redundant once the liquidator is appointed. They may be entitled to claim statutory redundancy pay and unpaid wages from the National Insurance Fund. The liquidator will provide the necessary documentation and guidance to help employees make these claims.

You are not normally personally liable for company debts if you have acted properly. However, personal liability can arise if you have given personal guarantees, or if you have traded wrongfully or fraudulently. A professional can review your conduct and advise on potential risks.

Yes, a liquidator has a duty to investigate the conduct of directors leading up to the liquidation. They will prepare a report on your conduct and may take action against you if they find evidence of misfeasance, wrongful trading, or breach of duty. Proper advice helps mitigate risks.

You will need to provide the company's books and records, including financial statements, bank statements, debtors and creditors ledgers, and details of any assets. The liquidator will also require information about any transactions made in the months before the liquidation. Full cooperation is essential.