Professional Company LiquidatorsServing Northwold Businesses

A company liquidator is a licensed insolvency practitioner who manages the closure of a company. They collect and sell assets, settle creditor claims, and distribute any remaining funds. They also investigate the conduct of directors and ensure that all legal formalities are completed properly.

The cost of liquidation varies depending on the complexity of the case and the size of the company. Typically, fees are based on the work involved and the value of assets realised. A licensed professional will provide a clear fee structure before you commit to any action.

Yes, a company with no assets can still be liquidated through a creditors' voluntary liquidation. In such cases, the liquidator's fees may be paid from funds held by the company or by the directors personally. It is important to discuss this with a licensed professional.

Voluntary liquidation is initiated by the company's directors or shareholders, while compulsory liquidation is ordered by a court, usually after a creditor presents a winding-up petition. Voluntary liquidation gives more control to the company, whereas compulsory liquidation is imposed externally.

The duration depends on the complexity of the case. A straightforward creditors' voluntary liquidation may take between six and twelve months to complete. More complex cases involving asset recovery or legal disputes can take longer. Your liquidator will provide a timeline based on your specific circumstances.

Yes, alternatives include company voluntary arrangements (CVAs), administration, or informal arrangements with creditors. These options may allow the company to continue trading or achieve a better return for creditors. A licensed insolvency practitioner can advise on the most suitable route.

To start a creditors' voluntary liquidation, the directors must call a board meeting and then a general meeting of shareholders. A resolution to wind up the company must be passed, and a licensed insolvency practitioner must be appointed as liquidator. The process must follow the Insolvency Act 1986.

Generally, directors are not personally liable for company debts unless they have given personal guarantees or have been involved in wrongful trading or fraudulent activity. A liquidator will investigate and may take action against directors if misconduct is found.

Yes, a company can be liquidated while it is still trading, but this is unusual. If the company is solvent, a members' voluntary liquidation is possible. If it is insolvent, a creditors' voluntary liquidation is appropriate. In either case, the company must cease trading once liquidation begins.

Employees are made redundant when a company goes into liquidation. They may be entitled to claim redundancy pay and other statutory payments from the National Insurance Fund. The liquidator will provide the necessary documentation and guidance to employees about their rights.