Professional Company LiquidatorsServing Whitstable Businesses

A licensed insolvency practitioner takes control of the company, sells its assets, pays creditors in the legal order of priority, and then formally dissolves the company. They also investigate the directors' conduct and ensure that all statutory obligations are met during the process.

The cost varies depending on the complexity of the company's affairs, but typical fees range from £4,000 to £8,000 plus VAT. This is often paid from the company's assets, but if there are no assets, directors may need to fund the process personally. Always request a fixed fee quote upfront.

A straightforward creditors' voluntary liquidation can take between six and twelve months to complete, depending on how quickly assets are sold and any legal issues are resolved. The final dissolution of the company usually happens after the liquidator's final report is filed with Companies House.

Yes, it is possible to liquidate an insolvent company with no assets, but the liquidator's fees must be funded by someone, often the directors. This is sometimes called a 'no asset liquidation' and requires a deposit before the process starts. Professional advice is essential to explore alternatives first.

Creditors' voluntary liquidation is initiated by the directors when the company is insolvent, and it is a more controlled process. Compulsory liquidation is forced by a creditor through a court order, which removes control from the directors. The latter is usually more expensive and carries a greater risk of director investigations.

Yes, alternatives include a company voluntary arrangement (CVA) to repay debts over time, administration to restructure the business, or a formal strike-off if the company is solvent and not trading. Each option has different implications for directors, so it is vital to seek professional advice before choosing.

Employees are made redundant on the date the liquidation begins. They become preferential creditors for unpaid wages and holiday pay, but there is a statutory cap on the amount that is protected. The liquidator will also assist employees in claiming redundancy payments from the National Insurance Fund.

Generally, no, because a limited company is a separate legal entity. However, if you have given personal guarantees, signed a director's loan account, or acted fraudulently or wrongfully, you could be pursued personally. The liquidator has a duty to investigate your conduct and may seek compensation if you have breached your duties.

Directors must prepare a statement of affairs, attend a meeting of creditors, and cooperate fully with the liquidator. They must provide all company records and explain any transactions that occurred in the months before liquidation. Failure to cooperate can lead to personal liability and potential disqualification.

You should select a licensed insolvency practitioner who is authorised by a recognised professional body, such as the Insolvency Practitioners Association. Look for someone with local experience, transparent fees, and a clear communication style. Speak with several professionals before making a decision, and always check their credentials.