Expert Company LiquidatorsServing Gourock Businesses

A company liquidator is a licensed insolvency practitioner who manages the closure of a company. They collect and sell assets, settle debts with creditors, and distribute any remaining funds to shareholders. They also investigate the directors' conduct and ensure that all legal requirements are met.

The cost of liquidation varies depending on the complexity of the company's affairs. Typically, fees range from £4,000 to £8,000 plus VAT, but this can be higher for larger or more complex cases. The liquidator's fees are paid from the company's assets, not from the directors' personal funds.

A Creditors' Voluntary Liquidation (CVL) is for insolvent companies, where debts cannot be paid. A Members' Voluntary Liquidation (MVL) is for solvent companies, typically used by directors to extract retained profits as capital. Each has different procedures, costs, and implications for directors.

The length of time depends on the complexity of the case. A straightforward CVL may complete in six to twelve months, whilst an MVL can be quicker. However, if there are complex assets, legal disputes, or investigations, the process can take longer.

Yes, you can liquidate an insolvent company with no assets, but creditors may not receive any payment. The liquidator's fees still need to be covered, often by the directors or a third party. This is sometimes called a 'no asset liquidation' and requires careful consideration.

Alternatives include company voluntary arrangements (CVAs), administration, or simply negotiating with creditors directly. For solvent companies, striking off is a cheaper option. Each has different consequences, so it's important to get professional advice to determine which route is best for your situation.

Usually, directors are not personally liable for company debts if they have acted properly. However, if you have given personal guarantees, or if there has been wrongful trading or fraudulent activity, you could be held personally liable. Taking advice early can help protect your position.

No. Once a liquidation order is made, the liquidator takes control of the company, and the directors' powers cease. You cannot trade or deal with company assets without the liquidator's permission. Continuing to trade after this point can lead to personal liability.

Choose a licensed insolvency practitioner who is authorised by a recognised professional body. Look for experience with your type of business and check their fees and reputation. It's wise to speak with more than one professional to compare options and ensure you feel comfortable.

You will need to provide financial records, including accounts, bank statements, and details of debts and assets. The liquidator will also ask about any recent transactions, especially those involving directors or connected parties. Providing accurate and complete information speeds up the process.