Professional Company LiquidatorsServing Tansley Businesses

The cost of liquidation varies depending on the complexity of your company's affairs, the number of creditors, and the value of assets. Most licensed professionals offer a fixed fee for straightforward cases, but always request a detailed quote in writing. Ensure the fee covers statutory advertising, disbursements, and the preparation of final accounts.

Any limited company can be liquidated, whether solvent or insolvent. For a creditors' voluntary liquidation, the company must be insolvent, meaning it cannot pay its debts as they fall due. For a members' voluntary liquidation, the company must be solvent and able to pay all debts in full within a specified period.

The process begins with a board meeting where directors pass a resolution to wind up the company. For a creditors' voluntary liquidation, a meeting of creditors is then held to confirm the appointment of the liquidator. The liquidator takes control of assets, notifies creditors, and distributes proceeds according to statutory priorities.

A straightforward liquidation typically takes between six and twelve months to conclude, depending on the complexity of asset realisation and the resolution of creditor claims. More complex cases involving litigation or fraud investigations can take longer. Your liquidator should provide a realistic timeline at the outset based on your specific circumstances.

Yes, alternatives include a company voluntary arrangement (CVA) to repay debts over time, administration to give breathing space while restructuring, or informal negotiation with creditors. For solvent companies, striking off is a cheaper option if the company has not traded recently. A licensed professional can explain the pros and cons of each.

Employees are made redundant when a liquidator is appointed, unless a buyer is found for the business as a going concern. The liquidator is responsible for ensuring employees receive their statutory redundancy pay, notice pay, and unpaid wages, which may be claimed from the National Insurance Fund if the company cannot pay.

Generally, no, as limited liability protects directors from personal responsibility for company debts. However, if you have given personal guarantees or have acted wrongfully, such as trading while insolvent or misusing company funds, you may be pursued personally. Professional advice is essential to understand your exposure.

You will need to provide the company's statutory books, financial records, bank statements, tax returns, and details of all assets and liabilities. The liquidator will also require a statement of affairs, which lists what the company owns and owes. Providing complete and accurate information speeds up the process.

Being a director of a company that goes into liquidation does not automatically disqualify you from being a director of another company. However, if you are found guilty of wrongful trading, fraud, or other misconduct, the court may issue a disqualification order for up to fifteen years. Seek legal advice if concerned.

Look for a licensed insolvency practitioner who is regulated by a recognised professional body, such as the Insolvency Practitioners Association or the Institute of Chartered Accountants. Check their experience with companies similar to yours, ask for references, and ensure they provide a clear written fee structure before you engage them.