Professional Company LiquidatorsServing Axbridge Businesses

A company liquidator is a licensed insolvency practitioner who manages the closure of a company. They collect and sell assets, settle debts with creditors, and distribute any remaining funds to shareholders. They also ensure the company is formally dissolved and removed from the register.

The cost varies depending on the complexity of the company's affairs. Typically, fees range from £1,500 to £5,000 for a simple liquidation, but larger or more complex cases may cost more. The liquidator will provide a fee quote before you commit, and you should ask about any additional costs.

Any limited company that is insolvent, meaning it cannot pay its debts as they fall due, is eligible for a creditors' voluntary liquidation. A members' voluntary liquidation is for solvent companies where directors can make a declaration of solvency. Eligibility also depends on the company's specific financial situation.

A creditors' voluntary liquidation typically takes between six and twelve months to complete, depending on the complexity of the case. A members' voluntary liquidation can be quicker, often around three to six months. The process involves meetings, asset realisation, and final account preparation.

Yes, you can liquidate a company with no assets. This is often referred to as a 'no asset liquidation'. The liquidator will still need to be paid, so you may need to cover the costs personally or through a funding arrangement. The company can be dissolved if it has no assets and no liabilities.

A Creditors' Voluntary Liquidation (CVL) is for insolvent companies, where creditors are owed money and the company cannot pay its debts. A Members' Voluntary Liquidation (MVL) is for solvent companies, where directors make a statutory declaration of solvency. MVL is often used for tax planning purposes.

Yes, alternatives include a Company Voluntary Arrangement (CVA), which is a formal agreement with creditors to repay debts over time. Administration is another option, which can give a company breathing space from creditors. Sometimes, a simple dissolution is possible if the company has no debts and is not trading.

When a company goes into liquidation, employees are made redundant. They may be entitled to claim redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund. The liquidator will provide employees with the necessary forms to make these claims, and they are considered preferential creditors.

In most cases, directors are not personally liable for company debts. However, if a director has given a personal guarantee, they may be liable. Additionally, if wrongful trading or fraudulent trading is proven, a court can order a director to contribute to the company's assets. Seek professional advice to understand your position.

To start a creditors' voluntary liquidation, you must call a board meeting and pass a resolution to wind up the company. Then, you must convene a meeting of creditors within 14 days. A licensed insolvency practitioner will guide you through the required paperwork and procedures.