Professional Company LiquidatorsGuidance in Lisburn

The cost of a Creditors' Voluntary Liquidation (CVL) is not fixed and can vary based on the company's size, asset complexity, and creditor structure. A licensed insolvency practitioner will provide a fee quote after an initial assessment. This fee is usually paid from the company's assets, but if assets are insufficient, it may be funded by the directors.

A company is generally eligible for liquidation if it is insolvent, meaning it cannot pay its debts as they fall due, or its liabilities exceed its assets. The directors must be prepared to swear a statement of affairs. A licensed professional will verify that liquidation is the appropriate course of action before proceeding.

The process typically involves a board meeting to pass a resolution, followed by a meeting of shareholders to formally approve the winding up. A licensed insolvency practitioner is then appointed as the liquidator. They will take control of assets, deal with creditor claims, and manage the legal closure of the company.

The duration varies depending on the complexity of the company's affairs. A straightforward liquidation with few assets and creditors might be completed within six to nine months. However, cases with complex asset sales, legal disputes, or incomplete records can take considerably longer to conclude.

Yes, there are several alternatives to consider. These include a Company Voluntary Arrangement (CVA) to repay debts over time, administration, or a formal restructuring. A licensed professional will assess your company's viability and advise on whether a rescue or recovery option is more realistic than liquidation.

Directors have a duty to cooperate fully with the liquidator. This includes providing all company records, accounts, and information about the company's affairs. They must not dispose of any company assets without permission and must be transparent about all transactions made prior to the liquidation.

Yes, it is possible to liquidate an insolvent company with no assets. This is often referred to as a 'no-asset liquidation'. The fees for the licensed insolvency practitioner would need to be funded by the directors or another interested party, as there are no company funds available to cover the costs.

A licensed insolvency practitioner is an expert who is authorised to act as a liquidator. Their role is to act in the best interests of all creditors. They will investigate the company's affairs, realise assets, distribute funds to creditors in the correct statutory order, and report on the conduct of directors.

In most cases, directors are not personally liable for company debts if they have acted properly. However, personal liability can arise if you have given a personal guarantee, or if you have been found guilty of wrongful trading, fraudulent trading, or have misused company funds for personal benefit.

Employees are made redundant when a company enters liquidation. They become preferential creditors for certain claims, such as unpaid wages and holiday pay. The liquidator will handle the redundancy process and advise employees on how to make claims to the relevant authorities for their statutory entitlements.