Professional Company LiquidatorsServing Palmers Green

A licensed insolvency practitioner acts as a liquidator to wind down your company's affairs. They sell assets, settle debts with creditors, and distribute any remaining funds to shareholders. The process formally closes your company and releases you from most liabilities, provided you have acted correctly as a director.

The cost of a creditors' voluntary liquidation typically ranges from £4,000 to £8,000, depending on the complexity of your company's finances. A licensed practitioner will provide a fixed fee quote before you commit. You should compare a few quotes to ensure you receive a fair and transparent price for the work involved.

Any limited company that is insolvent, meaning it cannot pay its debts when they fall due, may enter liquidation. You must pass a board resolution and then obtain shareholder approval. A licensed insolvency practitioner will verify your eligibility and guide you through the statutory requirements to proceed correctly.

A straightforward creditors' voluntary liquidation is often completed within six to twelve months. The timeline depends on how quickly assets can be sold and whether any legal disputes arise. Your liquidator will keep you informed at each stage and provide a realistic estimate based on your company's specific circumstances.

You might consider a company voluntary arrangement (CVA), which allows you to repay debts over a fixed period whilst continuing to trade. Alternatively, administration gives you protection from creditors while you restructure. A licensed professional can assess your cash flow and future prospects to recommend the most suitable alternative to liquidation.

No, in liquidation your assets are sold to repay creditors. However, you may be able to buy back certain assets from the liquidator at a fair market value, provided this does not disadvantage other creditors. Discuss your specific assets with your insolvency practitioner to understand what options are available to you.

Employees are made redundant when a company enters liquidation. The liquidator will handle statutory redundancy payments, notice pay, and holiday pay through the National Insurance Fund. You should provide your liquidator with accurate employee records so that all claims are processed correctly and promptly for your staff.

No, a creditors' voluntary liquidation does not require a court hearing. You will hold a board meeting and then a shareholder meeting to pass the necessary resolutions. The appointed liquidator then takes control of the company's affairs. Court involvement is only necessary for compulsory liquidation, which is rare and usually creditor-led.

Trading while insolvent can lead to personal liability for wrongful trading. If you continue to incur debts when you know there is no reasonable prospect of repayment, you may be required to contribute to company assets from your own funds. This is a serious risk that directors must avoid by seeking professional advice early.

Yes, directors can appoint a licensed insolvency practitioner to act as liquidator through a creditors' voluntary liquidation. You must call a shareholder meeting and pass a special resolution to wind up the company voluntarily. The creditors then confirm the appointment at a separate meeting, which the liquidator will arrange.