Professional Company LiquidatorsServing Wembley Park

The cost of liquidation varies depending on the complexity of your company's affairs, the number of creditors, and the assets involved. Fees are usually paid from company assets, but if assets are insufficient, directors may need to fund the process. A licensed insolvency practitioner will provide a clear fee structure before you proceed.

Any limited company that is insolvent, meaning it cannot pay its debts as they fall due, may be eligible for creditors' voluntary liquidation. If the company is solvent but you wish to close it, a members' voluntary liquidation may be appropriate. Eligibility also depends on the company's constitution and the directors' solvency statement.

The process typically begins with a meeting of directors to pass a resolution for winding up. A licensed insolvency practitioner is then appointed as liquidator. Creditors are notified, and a meeting is held to confirm the appointment. The liquidator then realises assets, investigates affairs, and distributes proceeds to creditors before the company is dissolved.

The duration of liquidation depends on the complexity of the case. A straightforward creditors' voluntary liquidation may be completed in six to twelve months. However, if there are complex asset realisations or investigations, the process can take longer. Your liquidator will provide an estimated timeline at the outset.

Yes, alternatives include company voluntary arrangements, administration, or informal arrangements with creditors. Each option has different implications for the company and its directors. A licensed insolvency practitioner can assess your financial position and advise on the most suitable course of action, which may allow the business to continue trading.

Employees are made redundant when a company enters liquidation, unless a buyer is found for the business. The liquidator will assist employees in claiming redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund. Employees may also have preferential status for certain claims, but this depends on the specifics of the case.

Directors can be held personally liable if they have acted wrongfully, such as trading while insolvent without taking steps to minimise losses to creditors. Personal guarantees on business loans or leases can also create personal liability. Seeking professional advice early can help mitigate these risks and ensure compliance with legal duties.

A licensed insolvency practitioner acts as liquidator, taking control of the company's assets, investigating its affairs, and distributing funds to creditors in the correct order of priority. The liquidator also ensures that the company is wound up in accordance with insolvency law and reports to creditors and shareholders on the outcome.

Choose a licensed insolvency practitioner who is authorised by a recognised professional body, such as the Insolvency Practitioners Association. Look for experience with companies similar to yours, transparent fee structures, and a clear communication style. You can also check reviews or ask for recommendations from your accountant or legal adviser.

You will need to provide the company's financial records, including accounts, bank statements, tax returns, and details of debts and assets. Also provide information about any recent transactions, especially those involving directors or connected parties. The liquidator will use this information to carry out their statutory duties and report to creditors.