Professional Company LiquidatorsServing Clifton Bristol

A licensed insolvency practitioner takes control of the company, realises assets, investigates the directors' conduct, and distributes funds to creditors. They also handle the statutory paperwork and ensure the company is formally dissolved at the end of the process.

Costs vary depending on the size and complexity of the company. Typically, fees are based on the work involved, often taken from the realised assets. You should ask for a clear written quote before agreeing to any appointment, and compare that with the potential costs of trading on.

A director can appoint a liquidator by passing a shareholder resolution, or creditors can apply to the court to wind up the company. In most cases, the directors choose to act voluntarily, but the liquidator must be a licensed insolvency practitioner.

Creditors' voluntary liquidation is initiated by the directors when the company is insolvent. Compulsory liquidation is forced by a creditor through a court order. The process is similar, but the trigger and the level of court involvement differ.

A simple liquidation may be completed in six to twelve months, but complex cases with many assets or disputes can take longer. The liquidator must finalise the sale of assets, settle claims, and file final accounts before the company is struck off the register.

You can continue trading, but you must be careful not to incur debts that the company cannot pay. Trading while insolvent may lead to personal liability for wrongful trading. Seek professional advice immediately to understand your options and avoid further risk.

Employees are entitled to claim redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund, but the liquidator will dismiss them. The liquidator provides the necessary forms and guidance, and employees are treated as preferential creditors for some claims.

Yes, alternatives include a company voluntary arrangement, administration, or informal restructuring with creditors. These options may allow the business to continue trading or achieve a better return for creditors. A licensed practitioner can assess which route is most suitable for your situation.

Directors can face investigation into their conduct, including potential claims for misfeasance or wrongful trading. If you have acted in good faith and kept proper records, the risk is low. However, you must cooperate fully with the liquidator and provide all necessary information.

Generally, no, because a limited company is a separate legal entity. However, if you have given personal guarantees, you may be liable for those debts. Additionally, if you have misused funds or continued trading while insolvent, you could face personal liability.