Professional Company Liquidators inPrinces Risborough for Directors

A company liquidator is a licensed insolvency practitioner who takes control of a company that is being wound up. They realise assets, investigate the company's affairs, agree claims from creditors, and distribute any available funds. They also ensure that the company is struck off the register properly.

The cost varies depending on the complexity of the company's affairs and the amount of work required. Typically, fees are based on time spent or a fixed fee agreed upfront. In many cases, the liquidator's fees are paid from the company's assets, but if there are no assets, directors may need to fund the process personally.

Creditors' Voluntary Liquidation (CVL) is initiated by the directors when the company is insolvent and they decide to wind it up voluntarily. Compulsory Liquidation is forced by a creditor through a court order, often after a statutory demand has been ignored. A CVL gives directors more control over the choice of liquidator.

Once a liquidator is appointed, they take control of the company and trading ceases, except for limited actions that the liquidator may authorise to preserve value or complete essential contracts. You cannot continue to trade or make decisions without the liquidator's consent.

Signs include an inability to pay debts as they fall due, mounting creditor pressure, statutory demands, or a negative net asset position on the balance sheet. If you are unsure whether your company is insolvent, it is wise to seek professional advice early to avoid wrongful trading claims.

The process typically takes between six and twelve months, but it can be longer if the company has complex affairs, ongoing litigation, or unregistered assets. The liquidator must finalise all matters, including realising assets and distributing funds, before applying for dissolution.

Yes, alternatives include a Company Voluntary Arrangement (CVA), administration, or formal restructuring. If the company is fundamentally viable but has cash flow problems, a CVA might allow you to repay debts over time. An insolvency practitioner can help you assess which option is most suitable.

When a liquidator is appointed, employees are automatically made redundant. They may be entitled to claim redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund, which is a government scheme. The liquidator will provide the necessary forms and guidance to affected employees.

Yes, you can propose a CVL, but it requires a shareholder resolution. If you hold at least 75% of the voting rights, you can pass the resolution yourself. Otherwise, you need the support of other shareholders. If they object, you may need to consider other options such as administration or a court application.

You must provide full financial records, including accounts, bank statements, tax returns, and details of assets and liabilities. You also need to explain any significant transactions or transfers made in the past two years. The liquidator will require a statement of affairs and a list of creditors.