Professional Company LiquidatorsServing Meifod Businesses

The cost varies depending on the complexity of your case, the size of your company, and the amount of work required. Most liquidators charge a fixed fee or an hourly rate, and the fee is paid from the company's assets. You should request a detailed quote before proceeding.

A company liquidator can be appointed by the directors, shareholders, or creditors. In a creditors' voluntary liquidation, the shareholders pass a resolution to wind up the company, and then the creditors confirm the appointment of the liquidator. In a compulsory liquidation, the court appoints the liquidator.

The duration depends on the complexity of the company's affairs. A straightforward creditors' voluntary liquidation may be completed within six to twelve months, whilst more complex cases involving asset realisation or legal disputes can take several years. Your liquidator will provide a timeline based on your specific circumstances.

Once a company enters liquidation, the directors' powers cease, and the liquidator takes control. The liquidator may continue trading for a short period if it is beneficial for the realisation of assets or to complete contracts. However, the primary purpose is to wind down the business in an orderly manner.

Alternatives include a company voluntary arrangement (CVA), administration, or informal negotiations with creditors. A CVA allows the company to repay debts over a period while continuing to trade. Administration provides a moratorium from creditors, giving time to restructure or sell the business as a going concern.

The liquidator's role is to collect and realise the company's assets, investigate the directors' conduct, distribute funds to creditors in the correct order of priority, and ultimately dissolve the company. They also ensure that all statutory filings are made and that the process complies with insolvency law.

Employees are automatically made redundant when a company enters liquidation, unless the liquidator retains them to assist with the winding-up process. Employees may be able to claim redundancy pay and other entitlements from the National Insurance Fund, but the liquidator will provide guidance on the claims process.

Directors can be held personally liable if they have acted wrongfully, such as trading while insolvent without reasonable prospect of recovery, or if they have misused company funds. The liquidator investigates directors' conduct and can apply to the court for a disqualification order or a contribution to the company's assets.

You will need to provide financial records, including balance sheets, profit and loss accounts, bank statements, debtors and creditors lists, and details of any assets. You should also provide a statement of affairs, which summarises the company's financial position, and any relevant contracts or agreements.

You should look for a licensed insolvency practitioner with experience in your industry and a track record of handling similar cases. Check their qualifications, read client reviews, and arrange an initial consultation to discuss your situation. Ensure they are regulated by a recognised professional body.