Professional Company LiquidatorsGuidance for Mayfield

The cost varies depending on the complexity of the business, the number of assets, and the level of creditor involvement. A licensed insolvency practitioner will provide a fixed fee quote after an initial assessment. This fee is often paid from the company's assets, but you should confirm this during your consultation.

Eligibility is generally based on insolvency, meaning the company cannot pay its debts as they fall due. A licensed professional will assess your balance sheet and cash flow position. If the company's liabilities exceed its assets, or it is unable to meet payment obligations, it may be eligible for a Creditors' Voluntary Liquidation.

The process begins with a meeting of directors to pass a resolution. A licensed insolvency practitioner is then nominated. Creditors are notified and a meeting is held where they can vote on the appointment. Once appointed, the liquidator takes control of the company's affairs, realises assets, and distributes funds to creditors.

The duration depends on the complexity of the case. A straightforward liquidation with few assets may be concluded in a matter of months. However, if there are complex asset sales, legal disputes, or missing records, the process can take longer. Your practitioner will provide an estimated timeline during the initial consultation.

Yes, there are several alternatives to consider. A Company Voluntary Arrangement (CVA) allows you to repay debts over a period. Administration may provide a moratorium from creditors. If the company is fundamentally viable, a restructuring plan might be possible. A licensed professional can explain the merits of each option based on your specific financial situation.

When a liquidator is appointed, employees are automatically dismissed. The liquidator is responsible for settling employee claims, including unpaid wages, holiday pay, and redundancy pay. These claims are preferential and are paid from the company's assets before unsecured creditors receive any distribution.

No, you cannot remain as a director or employee of a company that is in liquidation. The liquidator takes over the management of the company. However, you may be able to purchase assets from the liquidator to start a new business, provided you do so at market value and follow proper procedures.

Directors have duties to act in the best interests of creditors once insolvency is apparent. If you have traded wrongfully or fraudulently, you may be personally liable for company debts. A liquidator will investigate your conduct. However, if you have acted properly, the process can provide a fresh start without personal penalties.

The process can begin very quickly once you have decided to proceed. After an initial consultation, a licensed practitioner can prepare the necessary documents within a few days. A meeting of shareholders is then called to pass the resolution, and the liquidator can be appointed shortly thereafter.

You will need to provide full financial records, including bank statements, accounting records, and details of all debts and assets. You should also provide a list of creditors and any relevant contracts. The liquidator will review this information to understand the company's affairs and to fulfil their statutory duties.