Professional Company LiquidatorsServing Barking Businesses

A company liquidator is a licensed insolvency practitioner who manages the closure of a company. They take control of assets, sell them, and distribute the proceeds to creditors in the correct order. They also investigate the directors' conduct and ensure that all legal requirements are met during the liquidation process.

The cost of liquidation varies depending on the complexity of the company's affairs, the number of creditors, and the size of the asset base. Typically, fees range from a few thousand pounds for a simple case to more for complex situations. A licensed professional will provide a clear quote after an initial assessment.

A straightforward creditors' voluntary liquidation might complete within six to twelve months, but complex cases can take longer. The timeline depends on how quickly assets are sold, whether there are legal disputes, and how cooperatively the directors provide information. Your liquidator will give you a realistic estimate.

Yes, you can liquidate a company that has no assets. This is often called a 'no-asset liquidation'. The liquidator's fees may be paid by the directors or from funds available through the company's insurance or indemnity cover. It is still important to follow the proper legal process to avoid penalties.

Solvent liquidation, known as a members' voluntary liquidation, is used when a company can pay its debts in full within a set period. Insolvent liquidation, typically a creditors' voluntary liquidation, is used when the company cannot pay its debts. The procedures, forms, and implications for directors differ significantly.

Yes, alternatives include a company voluntary arrangement (CVA), administration, or formal restructuring. A CVA allows a company to repay debts over time while continuing to trade. Administration provides a moratorium from creditors while a plan is developed. A licensed professional can help you assess which option is best.

To start a creditors' voluntary liquidation, the directors must call a board meeting and then a shareholder meeting to pass a resolution for voluntary winding-up. A statement of affairs must be prepared, and a meeting of creditors is held to confirm the liquidator's appointment. Professional advice is essential to ensure compliance.

Directors can be held personally liable if they have acted wrongfully, such as trading while insolvent without taking proper steps to protect creditors. They may also be liable for breach of duty, fraudulent trading, or if they have given personal guarantees. Proper advice can help you avoid these risks.

Employees are made redundant when a company enters liquidation. They may be entitled to claim unpaid wages, holiday pay, and redundancy pay from the National Insurance Fund. The liquidator provides them with the necessary forms and guidance. Employees are also considered preferential creditors for certain claims.

Look for a licensed insolvency practitioner with experience in your industry and a track record of handling similar cases. Check their credentials, read reviews, and ask about their fees upfront. A good liquidator will offer a free initial consultation and communicate clearly throughout the process.