Expert Company LiquidatorsServing Leicestershire

A company liquidator is a licensed insolvency practitioner who takes control of the company, realises its assets, settles creditor claims, and distributes any remaining funds. They also investigate director conduct and report to the relevant authorities, ensuring the process is fair and lawful.

Costs vary based on company size, complexity, and asset value. Typically, fees range from a few thousand pounds for a simple case to more for complex ones. A licensed practitioner will provide a fixed fee quote after an initial assessment, so you know the cost upfront.

Yes, you can. If the company has no assets, creditors may not receive a dividend, but the process can still be completed. This is often called a 'no-asset liquidation' and is a valid way to close an insolvent company, providing a clean exit for directors.

The duration depends on the case. A simple creditors' voluntary liquidation may complete in six to twelve months, but complex cases with asset realisation or investigations can take longer. Your liquidator will provide a timeline based on your specific circumstances.

A creditors' voluntary liquidation (CVL) is initiated by the directors and shareholders, whereas compulsory liquidation is court-ordered, usually due to a creditor's petition. CVL gives more control and is often quicker, while compulsory liquidation is more formal and can be stressful.

Once liquidation begins, the liquidator takes control, and you cannot trade in the normal course. However, the liquidator may continue trading for a short period to sell stock or complete contracts. You must stop trading as soon as you decide to liquidate to avoid personal liability.

Alternatives include administration, a company voluntary arrangement (CVA), or a formal restructuring. If the business is viable, a CVA or administration may allow it to continue. A licensed practitioner can assess whether rescue is possible before you opt for liquidation.

Generally, directors are not personally liable for company debts if they have acted properly. However, if you have given personal guarantees, traded wrongfully, or misused funds, you could be held liable. A liquidator will investigate and may take action against you if necessary.

Choose a licensed insolvency practitioner with experience in your sector and a transparent fee structure. Check their authorisation with a recognised body, ask for references, and ensure they are regulated. You can also speak with a specialist listed on AccountingFirms for guidance.

Employees are made redundant when liquidation starts. They may be entitled to redundancy pay, notice pay, and holiday pay, which are preferential claims. The liquidator will handle the process and advise employees on how to claim from the National Insurance Fund, if applicable.