Professional Company LiquidatorsServing Poole Businesses

A licensed liquidator is appointed to wind up a company's affairs. Their role involves realising assets, settling creditor claims, and investigating the reasons for the insolvency. They ensure the process is conducted legally and fairly, providing a structured end to the company's existence.

The cost of a liquidation can vary based on the complexity of the case and the value of the company's assets. A licensed insolvency practitioner will provide a fee structure that is often based on the work involved. You should always obtain a clear quote before proceeding.

A creditors' voluntary liquidation is typically used by directors of an insolvent company. To be eligible, the directors must make a statutory declaration of solvency or, more commonly, call a meeting of shareholders and creditors to approve the liquidation. The company must be unable to pay its debts as they fall due.

The length of the process depends on the size and complexity of the company. A simple liquidation might be completed in a few months, whilst more complex cases with substantial assets or legal issues can take a year or more. Your liquidator will provide a timeline estimate at the outset.

Alternatives include a company voluntary arrangement (CVA) to repay debts over time, or formal administration, which aims to rescue the business as a going concern. Sometimes, a simple dissolution is possible if the company is solvent. You should discuss all options with a licensed professional to find the best outcome.

When a company enters liquidation, employees are made redundant. They may be entitled to claim certain payments, such as arrears of wages and holiday pay, from the National Insurance Fund. The liquidator will provide the necessary documentation and guidance for employees to make these claims.

If you have given personal guarantees for company debts, your personal assets could be at risk. The liquidator has a duty to pursue assets that belong to the company. It is vital to seek legal advice on your personal position before a liquidation commences to understand your exposure.

Directors must cooperate fully with the liquidator, providing all relevant company records and information. They must not conceal assets or destroy documents. Failure to comply with these duties can lead to personal liability, disqualification, or even criminal prosecution. It is important to act in the best interests of creditors from the moment insolvency is foreseeable.

The first step is to speak with a licensed insolvency practitioner. They will assess your company's financial position and advise on the most appropriate course of action. If liquidation is the right route, they will guide you through the necessary meetings and paperwork to formally place the company into liquidation.

Yes, you can start a new business after your company has been liquidated, provided you have not been disqualified from acting as a director. However, it may be more difficult to obtain credit initially. You should plan your new venture carefully and seek advice on building a new business profile.