Company Liquidators inChiswick: Expert Advice

The cost varies depending on the complexity of your company's affairs, the number of creditors, and the amount of assets. A licensed insolvency practitioner will provide a fixed fee quote before you commit. For a simple solvent liquidation, fees may be lower, while an insolvent liquidation with multiple creditors can be more expensive. Always request a written breakdown.

Your company is legally insolvent if it cannot pay its debts as they fall due, its liabilities exceed its assets, or it has failed to comply with a statutory demand. A licensed professional can review your balance sheet and cash flow to confirm whether insolvency procedures are necessary or if an alternative such as a company voluntary arrangement might be more suitable.

A members' voluntary liquidation is used for a solvent company. You must first declare solvency, which is a statutory declaration stating the company can pay its debts in full within a set period. Then shareholders pass a resolution to wind up, and a liquidator is appointed to realise assets, pay creditors, and distribute any surplus to shareholders.

A creditors' voluntary liquidation typically takes between six and twelve months to complete, depending on the complexity of the company's affairs. The liquidator must collect assets, investigate the company's history, agree claims with creditors, and then distribute funds. If there are legal disputes or missing records, the process can take longer.

Alternatives include a company voluntary arrangement, which allows you to repay debts over a period while trading continues, or administration, which provides a moratorium from creditor action while a restructuring is attempted. Informal arrangements with creditors are also possible. A licensed professional can assess which option is most viable for your specific circumstances.

Yes, you can liquidate a company with no assets, but the process may be different. If the company is insolvent and has no assets to cover liquidation costs, the director may need to consider a compulsory liquidation via a creditor's petition, or an application to the court. Alternatively, a licensed insolvency practitioner can advise on the most cost-effective route, which may involve striking off the company if it is not trading.

When a company goes into liquidation, employees are made redundant. The liquidator will dismiss all staff, and they may be entitled to claim redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund. The liquidator provides each employee with a claim form and guidance on how to submit it to the relevant authority.

Yes, you must inform all known creditors about the liquidation. In a creditors' voluntary liquidation, you are required to call a meeting of creditors and provide a statement of affairs. The liquidator will also advertise the liquidation in the Gazette to ensure any unknown creditors have the opportunity to claim.

No, once a company enters liquidation, the liquidator takes control of the business and its assets. Trading must cease immediately, except in limited circumstances where the liquidator may continue trading for a short period to sell stock or complete contracts. Directors must not incur further credit after the liquidation date, as this could lead to personal liability.

Trading while insolvent, known as wrongful trading, can lead to personal liability for the company's debts. A liquidator may apply to the court to recover funds from directors if they knew or ought to have known that insolvency was unavoidable. Directors can also be disqualified from acting as directors for up to fifteen years.