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Makesworth
Accountants is an award-winning accountancy practice of Chartered
Certified Accountants tax and business advisors. We a...
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Frequently asked questions
What is the difference between a CVL and an MVL in Cuffley?
A Creditors Voluntary Liquidation (CVL) is for insolvent companies where debts cannot be paid, initiated by directors to avoid compulsory winding up. A Members Voluntary Liquidation (MVL) is for solvent companies, often used to distribute retained profits in a tax-efficient manner and close the business voluntarily.
How much do company liquidators in Cuffley charge?
Fees vary based on company complexity, asset value, and creditor numbers. For a CVL, typical costs range from £3,000 to £7,000 plus VAT, often paid from company assets. MVL fees are usually fixed from £2,500. We provide a detailed quote after a free initial assessment.
Can I keep trading after appointing a liquidator in Cuffley?
No, once a liquidator is appointed, your powers as director cease. The liquidator takes control of the company's affairs to protect creditors. However, you may assist the liquidator during the process, but you cannot make decisions or trade on behalf of the company.
What happens to employees during a company liquidation in Cuffley?
Employees are automatically made redundant when a liquidator is appointed. The liquidator will assist in claiming statutory redundancy pay, unpaid wages, and holiday pay from the National Insurance Fund (RPS) on behalf of eligible staff. You should provide employee records to the liquidator promptly.
How long does the liquidation process take in Cuffley?
A CVL typically completes within 6 to 12 months, depending on asset realisation and creditor claims. An MVL can be quicker, often 3 to 6 months. Complex cases with legal disputes or uncollected debts may take longer. Your liquidator will provide a timeline after the initial meeting.
Are directors personally liable for company debts after liquidation?
Generally, no – limited liability protects directors from company debts. However, personal liability can arise if you have given personal guarantees, traded wrongfully or fraudulently, or misused the company's funds. Our liquidators will investigate and advise you on any potential risks before you proceed.
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