Company Liquidators in Auchterarderfor Your Business

The cost varies depending on the complexity of your company's affairs, the number of creditors, and the level of assets involved. Typically, fees are paid from the company's assets, but if there are insufficient assets, you may need to fund the process personally. A licensed insolvency practitioner can provide a clear fee quote after an initial assessment.

A company is insolvent if it cannot pay its debts as they fall due, or if its liabilities exceed its assets. Signs include mounting creditor pressure, bounced payments, or statutory demands. A professional can review your financial position and confirm whether formal insolvency is necessary or if alternative rescue options are available.

The process typically involves a meeting of shareholders or a court application, depending on the type of liquidation. A licensed insolvency practitioner is appointed to take control of the company's affairs, realise assets, and distribute proceeds to creditors. The practitioner will guide you through each step and ensure compliance with all legal requirements.

A straightforward creditors' voluntary liquidation may be completed within six to twelve months, but complex cases with substantial assets or legal issues can take longer. The timeline depends on factors such as the number of creditors, the sale of assets, and any investigations required. Your liquidator will provide an estimated timeframe at the outset.

Once a liquidation order is made or a resolution is passed, the liquidator takes control and trading must cease unless the liquidator decides to continue for a short period to maximise asset value. Before that point, you may trade while solvent, but trading while insolvent could lead to personal liability for wrongful trading.

Alternatives include a company voluntary arrangement (CVA), administration, or informal arrangements with creditors. A CVA allows you to repay debts over time while keeping the company trading. Administration provides a moratorium from creditor action, giving time to restructure. A licensed professional can help you decide which option is most suitable for your circumstances.

Generally, no, as limited liability protects your personal assets. However, personal liability can arise if you have given personal guarantees, or if you have been involved in wrongful trading, fraudulent activity, or misfeasance. The liquidator may also pursue you for repayment of director loans or preferential payments made to you.

Employees are made redundant when the company enters liquidation. They may be entitled to claim redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund, but the liquidator will provide guidance on the claims process. The liquidator also has a duty to ensure that employee claims are properly dealt with in the liquidation.

Yes, you can retain your existing accountant or solicitor to advise you personally, but they cannot act as the liquidator unless they are also licensed insolvency practitioners. It is often wise to have independent legal advice to ensure your interests are protected, especially if the liquidation involves complex issues or potential claims against you.

You will need to provide the company's books and records, including financial statements, bank statements, tax returns, and details of assets and liabilities. You should also provide a statement of affairs, listing all creditors and amounts owed. The liquidator will require full cooperation to carry out their duties effectively.