Professional Company Liquidators inWesterham Kent for Businesses

The cost of a liquidation is not fixed and depends on the size and complexity of your company. A licensed practitioner will provide a fee quote after an initial assessment. This fee is often paid from the company's assets before any distribution is made to creditors, so you may not need to pay from your own pocket.

Yes, a director can propose a Creditors' Voluntary Liquidation if the company is insolvent and cannot pay its debts as they fall due. The process requires a board resolution and shareholder approval, followed by a meeting of creditors. A licensed insolvency practitioner will guide you through each of these steps.

The initial liquidation meeting can occur within a few weeks of the decision to proceed. However, the entire process, including the realisation of assets and the distribution of funds to creditors, can take several months. The exact timeline depends on the complexity of the company's affairs and the speed at which assets can be sold.

A Members' Voluntary Liquidation is used for solvent companies where directors can make a statutory declaration of solvency. A Creditors' Voluntary Liquidation is for insolvent companies. The key difference is the involvement of creditors in the process and the practitioner's role investigating the reasons for the insolvency.

Yes, there are alternatives such as a Company Voluntary Arrangement, administration, or an informal arrangement with creditors. These options may allow the company to continue trading. A licensed practitioner can assess your financial position and advise on whether any of these alternatives are viable before you commit to liquidation.

Directors must cooperate fully with the liquidator and provide all relevant company records and information. They must not hide assets or prejudice creditors. Directors also have a duty to consider the interests of creditors when the company is insolvent. Failure to comply can lead to personal liability or disqualification.

When a company enters liquidation, all employees are automatically dismissed. The liquidator will handle claims for unpaid wages, holiday pay, and redundancy pay. Employees may be able to claim certain statutory payments from the National Insurance Fund, but the liquidator will guide them on the correct process to follow.

Assets that belong to the company are used to repay creditors. Personal assets are generally protected unless you have given personal guarantees for company debts. A licensed practitioner will explain what is considered a company asset and what is yours personally, so you understand your position clearly before you act.

You will need to provide the company's statutory records, financial accounts, bank statements, and details of all assets and liabilities. The liquidator will also require a list of creditors and any relevant contracts. Providing complete and accurate information from the start will help to speed up the process and avoid delays.

In most cases, you will not be personally liable for company debts if you have acted within the law. However, if you have given personal guarantees or have been involved in wrongful trading or fraudulent activity, you could be held personally responsible. A licensed practitioner will assess your conduct and advise you on the potential risks.