Company Liquidators in LincolnGuiding Directors Through Closure

The cost varies depending on the complexity of your company's affairs, the number of creditors, and whether it is a solvent or insolvent liquidation. Most licensed insolvency practitioners charge a fixed fee for a standard Creditors' Voluntary Liquidation, often payable from company assets. You should request a detailed quote upfront.

If your company is insolvent, meaning it cannot pay its debts as they fall due, you can appoint a liquidator. For solvent companies, a Members' Voluntary Liquidation is available if the directors can make a statutory declaration of solvency. A licensed practitioner will assess your balance sheet and cash flow to confirm eligibility.

The process begins with a confidential consultation. The practitioner will review your financial position, advise on the appropriate procedure, and if liquidation is agreed, convene a meeting of shareholders or creditors. The liquidator is then formally appointed, and they take control of the company's assets.

A Creditors' Voluntary Liquidation typically completes within 12 to 18 months, depending on the complexity of asset realisation and creditor claims. A solvent Members' Voluntary Liquidation can be faster, often concluding within six to nine months. Timelines can extend if there are legal disputes or untraceable assets.

Yes, alternatives include a Company Voluntary Arrangement (CVA), which allows you to repay debts over time, or formal administration, which may rescue the business as a going concern. If your company is fundamentally viable but has cash flow issues, a restructuring plan might be more suitable than liquidation.

When a company enters insolvent liquidation, employees are automatically made redundant. They may be entitled to claim statutory redundancy pay, unpaid wages, holiday pay, and pension contributions from the National Insurance Fund. The liquidator will provide the necessary forms and guidance to affected employees.

No, once a liquidator is appointed, the company ceases trading immediately. The liquidator's role is to realise assets and distribute funds to creditors. If you wish to continue the same business, you may need to buy the assets from the liquidator and start a new company, subject to restrictions.

Directors must cooperate fully with the liquidator, providing all books and records, and attend meetings if required. You must not hide assets or prefer certain creditors. Failure to comply can lead to personal liability, disqualification, or even criminal prosecution. The liquidator will explain your duties clearly.

The liquidator will identify, secure, and value all company assets, including property, equipment, stock, and intellectual property. They will then sell these assets to achieve the best possible return for creditors. You must not dispose of any assets before the liquidator is appointed without professional advice.

Generally, no, as long as you have not given personal guarantees or acted wrongfully. If you have provided a personal guarantee for a business loan or lease, the creditor can pursue you personally. The liquidator will investigate your conduct and may seek a contribution if wrongful trading is found.