Professional Company LiquidatorsServing Worthing Businesses

A company liquidator is a licensed insolvency practitioner who manages the winding-up of a company. They realise assets, settle debts with creditors, and distribute any remaining funds to shareholders. They also ensure compliance with legal requirements and investigate the conduct of directors.

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 covers the liquidator's time, statutory advertising, and disbursements. Always obtain a fixed-fee quote before appointing a liquidator.

Any limited company that is insolvent (unable to pay its debts as they fall due) can be placed into creditors' voluntary liquidation. For solvent companies, a members' voluntary liquidation is possible if the directors can make a statutory declaration of solvency.

A creditors' voluntary liquidation typically takes between six and twelve months to complete, depending on the complexity of asset realisation and creditor claims. A members' voluntary liquidation can be quicker, often three to six months, if the company is solvent.

No, once liquidation commences, the company ceases trading immediately. The liquidator takes control of the company's affairs. Any trading after the commencement of liquidation is unlawful and could result in personal liability for directors.

Liquidation ends the company's existence, while administration is a rescue process aimed at saving the company as a going concern. Administration provides a moratorium from creditors, allowing time to restructure or sell the business. Liquidation is usually the final step if rescue is not possible.

Employees are automatically made redundant when a company enters liquidation. They may be entitled to claim redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund. The liquidator will provide the necessary forms and guidance.

Generally, directors are not personally liable for company debts, as the company is a separate legal entity. However, personal liability can arise if there has been fraudulent trading, wrongful trading, or if personal guarantees were given for business loans.

A creditors' voluntary liquidation (CVL) is the most common form of liquidation for insolvent companies. The directors convene a meeting of shareholders to pass a resolution to wind up the company, and then a separate meeting of creditors is held to confirm the appointment of the liquidator.

Yes, it is possible to liquidate a company with no assets, but the costs must be covered. If there are no assets, the directors may need to fund the liquidation personally or consider alternative options such as a striking-off application, provided the company meets certain criteria.