Professional Company LiquidatorsServing Exeter Businesses

A company liquidator is an insolvency practitioner who manages the winding-up of a company's affairs. They realise the assets, pay creditors in the statutory order, and bring the company to an end. They also investigate the directors' conduct and report to the relevant authorities if any issues are found.

The cost of company liquidation varies depending on the complexity of the case, the size of the company, and the amount of work required. Creditors' voluntary liquidation (CVL) is often funded by the company's assets, but if there are no assets, directors may need to fund it personally. A licensed insolvency practitioner will provide a fixed fee quote after an initial assessment.

Any limited company that is insolvent, meaning it cannot pay its debts as they fall due, is eligible for liquidation. This includes both small and large companies. The decision to liquidate is typically made by the directors or shareholders, but creditors can also petition the court for a compulsory liquidation if they are owed money.

A creditors' voluntary liquidation usually takes between six and twelve months to complete, depending on the complexity of the case. The liquidator must collect and sell assets, agree claims with creditors, and distribute funds. If there are investigations or legal issues, the process may take longer. A simple case with no assets can be concluded more quickly.

Liquidation is the process of ending a company's existence, whereas administration is a rescue procedure that aims to save the company or achieve a better result for creditors than liquidation. In administration, a licensed insolvency practitioner takes control of the company to try to restructure it or sell it as a going concern. Liquidation is usually the final step if rescue is not possible.

Yes, you can liquidate a company with no assets, but it may be more challenging to fund the process. In a creditors' voluntary liquidation, the liquidator's fees are usually paid from the company's assets, but if there are none, the directors may need to contribute funds to cover the costs. An insolvency practitioner can advise on the best approach.

When a company goes into liquidation, employees are made redundant. They may be entitled to claim redundancy pay, unpaid wages, holiday pay, and other statutory payments from the National Insurance Fund, which is administered by the government. The liquidator will provide employees with the necessary forms and information to make these claims.

No, once a company enters liquidation, it ceases to trade. The liquidator takes control of the company's affairs, and the directors' powers cease. If you wish to continue operating a business, you may need to consider an alternative solution such as administration or a company voluntary arrangement (CVA), which allow the company to continue trading under certain conditions.

After liquidation, directors have a duty to cooperate fully with the liquidator. This includes providing all company records, accounts, and information as requested. Directors may also be investigated for their conduct leading up to the liquidation, and if they are found to have acted improperly, they could be disqualified or held personally liable for some debts.

Yes, there are alternatives to liquidation, including a company voluntary arrangement (CVA), administration, or informal negotiation with creditors. A CVA is a formal agreement to pay debts over a period of time, while administration can provide a moratorium from creditors while a rescue plan is developed. An insolvency practitioner can help you assess which option is best for your situation.