Company Liquidators in CornwallYour Path to Clarity

The cost of liquidation can vary depending on the complexity of your company's affairs, the number of assets, and the level of creditor involvement. Typically, fees are based on the time spent or a fixed fee agreed at the outset. A licensed insolvency practitioner will provide a clear quotation before you commit.

Any limited company that is insolvent, meaning it cannot pay its debts as they fall due, or whose liabilities exceed its assets, is eligible for creditors' voluntary liquidation. If the company is solvent but you wish to close it, a members' voluntary liquidation may be appropriate. A professional can assess your situation.

The process typically involves a meeting of shareholders to pass a resolution for liquidation, followed by the appointment of a licensed insolvency practitioner who acts as the liquidator. The liquidator will realise assets, agree claims from creditors, and distribute any proceeds. Finally, the company is dissolved and removed from the register.

The duration depends on the complexity of the case. A straightforward creditors' voluntary liquidation may be completed in six to twelve months, while more complex cases with many assets or legal issues can take longer. The liquidator will provide an estimated timeline after the initial review.

Yes, alternatives include a company voluntary arrangement (CVA), administration, or informal negotiations with creditors. A CVA allows a company to repay debts over a period while continuing to trade. Administration provides protection from creditors while a restructuring plan is developed. A specialist can explain the pros and cons of each option.

In a creditors' voluntary liquidation, employees are made redundant from the date the liquidation order is made. They may be entitled to claim redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund. The liquidator will provide the necessary forms and guidance to affected employees.

Directors are generally not personally liable for company debts unless they have given personal guarantees, or they have been involved in wrongful trading or fraudulent activity. If a director continues to trade while insolvent, they may be held accountable. Seeking advice early can help mitigate these risks.

A licensed insolvency practitioner acts as the liquidator, taking control of the company's assets, investigating its affairs, and ensuring that creditors are treated fairly. They also handle the legal and administrative processes required to dissolve the company. Their primary duty is to the creditors, not the directors.

Yes, you can generally start a new company after liquidation, but there are restrictions. If you have been a director of a company that has gone into insolvent liquidation, you may be subject to a disqualification order or undertaking, which can limit your ability to act as a director. A professional can advise on your specific situation.

You will need to provide financial records, including accounts, bank statements, tax returns, and details of assets and liabilities. You should also provide information about any recent transactions, especially those involving directors or connected parties. The liquidator will request a full list of creditors and any relevant contracts.