Professional Company Liquidators inStanmore Middlesex, Trusted Guidance

The cost varies depending on the size and complexity of the company, but a licensed insolvency practitioner will provide a fixed fee quote before you commit. This fee is paid from the company's assets, not from your personal funds. Always ask for a written breakdown of costs and what services are included.

The directors of a company must call a board meeting and pass a resolution stating that the company cannot pay its debts as they fall due. Shareholders must then approve the resolution at a general meeting. A licensed insolvency practitioner must be appointed to act as the liquidator.

A creditors' voluntary liquidation is initiated by the directors and shareholders, whereas a compulsory liquidation is ordered by a court, usually following a winding up petition from a creditor. In a CVL, the directors have more control over the appointment of the liquidator and the process is generally less adversarial.

The initial meeting and appointment of the liquidator can happen within a few weeks of the decision. The liquidation itself can take several months to a year or more, depending on the complexity of the company's affairs, the realisation of assets, and the investigation into director conduct.

No. Once a company enters liquidation, the liquidator takes control of the company's affairs and the directors' powers cease. You cannot trade or deal with any company assets without the liquidator's express permission. Any trading after this point is a serious offence and could lead to personal liability.

Employees are automatically dismissed when a company enters liquidation. They may be entitled to claim certain payments, such as redundancy pay, notice pay, and holiday pay, from the National Insurance Fund. The liquidator will provide the necessary forms and guidance to help employees make these claims.

Yes. A company voluntary arrangement (CVA) allows you to repay debts over a period of time, or you might consider administration or a formal restructuring. These options can sometimes rescue the business as a going concern. A licensed practitioner can assess your financial position and recommend the most suitable solution.

Directors have a duty to cooperate fully with the liquidator. This includes providing all relevant books and records, attending interviews if required, and disclosing all company assets. Failure to cooperate can result in personal liability for debts or even disqualification from acting as a director in the future.

Generally, no. Limited liability protects directors from personal responsibility for company debts, provided they have acted lawfully. However, personal liability can arise if you have given personal guarantees, traded wrongfully, or misused company funds. The liquidator will investigate your conduct and may take action if necessary.

The liquidator has a statutory duty to investigate the conduct of all directors leading up to the liquidation. This includes examining the company's financial affairs, transactions at an undervalue, and any preferences given to creditors. If misconduct is found, the liquidator can apply to the court for a disqualification order or seek compensation for creditors.