Professional Company Liquidatorsin Sherborne

A company liquidator is a licensed insolvency practitioner who takes control of the company, sells its assets, and distributes the proceeds to creditors. They also investigate the directors' conduct and ensure that the company is dissolved properly at the end of the process.

Costs vary depending on the complexity of the case, the number of assets, and the level of creditor involvement. Most practitioners offer a fixed fee or an hourly rate. You should always ask for a detailed quote before agreeing to any work.

A director can appoint a liquidator by passing a shareholder resolution, provided the company is solvent. If the company is insolvent, a creditor can petition the court to appoint a liquidator, or the directors can apply for a compulsory winding-up order.

A simple solvent liquidation may be completed in a few months, while a complex insolvent case can take over a year. The timeline depends on the number of creditors, the value of assets, and whether any disputes arise.

Liquidation is the process of closing a company and distributing its assets. Administration is a temporary measure that aims to rescue the company as a going concern. An administrator is appointed to protect the business from creditors while a restructuring plan is developed.

Yes, you can. A company with no assets can be struck off the register, but this is not the same as liquidation. Creditors can object to a strike-off. A licensed insolvency practitioner can advise on the most appropriate route for your situation.

Employees are made redundant when a company goes into liquidation. They may be entitled to claim certain payments from the National Insurance Fund, such as redundancy pay, holiday pay, and arrears of wages. The liquidator will provide the necessary forms and guidance.

Generally, no. Limited liability protects directors from personal responsibility for company debts. However, personal liability can arise if a director has given a personal guarantee, acted fraudulently, or traded wrongfully. The liquidator will investigate any such conduct.

A director's voluntary liquidation is a process used when a company is solvent but the directors want to close it. The directors make a statutory declaration of solvency, and a liquidator is appointed to distribute the assets and dissolve the company.

Trading while insolvent is not automatically illegal, but it can lead to personal liability if you incur further debts without a reasonable prospect of repayment. The liquidator can apply to the court for a contribution order if they believe you have acted wrongfully.