Expert Company LiquidatorsServing Lancashire Businesses

A company liquidator is a licensed insolvency practitioner who takes control of the company, realises its assets, settles debts with creditors, and distributes any remaining funds to shareholders. They also investigate the directors' conduct and ensure the company is dissolved lawfully.

Costs vary depending on the complexity of the company's affairs, but typical fees for a creditors' voluntary liquidation range from £3,000 to £6,000 plus VAT and disbursements. The liquidator's fee is paid from the company's assets, not from your personal funds.

Any limited company that is insolvent—meaning it cannot pay its debts when they fall due—is eligible for liquidation. This includes companies with significant debts, those facing legal action from creditors, or those where the directors have concluded that the business cannot continue trading.

The process involves a board meeting to pass a resolution, then a creditors' meeting within 14 days. Creditors vote on the appointment of a liquidator. The liquidator then takes over, realises assets, investigates affairs, and distributes funds before applying to dissolve the company.

The duration depends on the complexity of the case. Simple liquidations may be completed in six to twelve months, but cases with complex asset sales, legal disputes, or investigations can take several years. The liquidator must act in the best interests of creditors, which can extend timelines.

Yes, alternatives include a company voluntary arrangement (CVA) to repay debts over time, administration to allow restructuring, or a formal restructuring plan. Selling the business as a going concern may also preserve jobs and value. A licensed professional can advise which route is suitable.

Yes, you can. If the company has no assets, a liquidation may still be possible, but creditors must agree to the appointment of a liquidator. In some cases, directors may need to fund the liquidation personally to cover the costs, or the company may be struck off instead.

Employees are made redundant automatically when a company goes into liquidation. They may claim statutory redundancy pay, unpaid wages, holiday pay, and other entitlements from the National Insurance Fund. The liquidator provides them with the necessary claim forms and guidance.

No, you do not need a solicitor. A licensed insolvency practitioner can handle the entire liquidation process. However, if there are complex legal issues, such as director misconduct or disputes, you may wish to seek independent legal advice to protect your position.

Directors must cooperate fully with the liquidator, provide all relevant books and records, and disclose all company assets and liabilities. They must not conceal assets or destroy records. Failure to comply can lead to personal liability, fines, or disqualification.