Professional Company LiquidatorsServing Co. Armagh

A licensed insolvency practitioner acts to realise the company's assets, settle creditor claims, and investigate the conduct of directors. They manage the entire process of closing the company, ensuring that it is carried out in a lawful and orderly manner, and they report to creditors and the relevant authorities.

The cost depends on the size and complexity of the company's affairs. For an insolvent liquidation, the liquidator's fee is often paid from the company's assets. In a members' voluntary liquidation, the fee is usually agreed with the shareholders before the appointment is made. Always ask for a clear fee structure upfront.

A creditors' voluntary liquidation is initiated by the directors and shareholders when the company is insolvent. A compulsory liquidation is a court order that is usually obtained by a creditor. The process and the level of director involvement differ significantly between the two procedures.

Yes, it is possible to liquidate a company with no assets. This is often referred to as a 'no asset liquidation'. The licensed insolvency practitioner will need to be satisfied that there are no funds to cover their fees, and they may ask for a contribution from the directors or shareholders to cover the costs of the process.

Directors must cooperate fully with the liquidator, provide all books and records, and disclose all company property. They must not dispose of any assets without consent. They also have a duty to answer questions about the company's affairs and to assist the liquidator in their investigation into the company's failure.

The timeline varies. A straightforward creditors' voluntary liquidation might be concluded within six to nine months. However, complex cases with substantial asset realisation or investigations can take several years to complete. The liquidator will provide an estimated timescale at the outset of the appointment.

Yes, there are alternatives to liquidation. A formal insolvency procedure like administration or a company voluntary arrangement (CVA) can allow the business to continue trading. A licensed professional can assess the viability of the business and advise on whether a rescue package is a realistic option for your company.

The liquidator becomes responsible for the employees. They will assess whether any staff are needed to assist with the winding-up. Most employees will be made redundant, and they may be entitled to claim certain payments from the National Insurance Fund, which covers arrears of wages, holiday pay, and notice pay.

A members' voluntary liquidation is a procedure for a solvent company whose directors have made a statutory declaration of solvency. It is used when the owners wish to close the company for reasons such as retirement or a desire to extract capital. A licensed insolvency practitioner acts as the liquidator to distribute the assets.

Trading whilst insolvent can lead to personal liability for the company's debts. A liquidator can apply to the court for a declaration of wrongful trading, which may require directors to contribute to the company's assets. Directors can also be disqualified from acting as a director for a period of time.