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Frequently asked questions
What is the difference between CVL and MVL in Stanford-le-hope?
CVL (Creditors Voluntary Liquidation) is used when a company is insolvent and cannot pay its debts. An MVL (Members Voluntary Liquidation) is for solvent companies where directors wish to close voluntarily, often for retirement or restructuring. Our liquidators in Stanford-le-hope will assess your financial position and recommend the correct procedure.
How much does company liquidation cost in Stanford-le-hope?
Costs vary based on complexity, asset value, and creditor numbers. For a straightforward CVL, fees typically range from £3,000 to £6,000 plus VAT, but we offer fixed-fee packages. MVL costs are often lower if assets are simple. Contact us for a tailored quote with no hidden charges.
Can I continue trading during liquidation?
Once a liquidation order is made, directors lose control and cannot trade. However, before that, you may continue trading to preserve value, but you must not take on new credit. Our advisors will guide you on the legal trading window to avoid wrongful trading claims.
What happens to employees during company liquidation?
Employees are made redundant immediately upon liquidation. They can claim statutory redundancy pay, notice pay, and unpaid wages from the National Insurance Fund (via the Redundancy Payments Service). Our liquidators will provide necessary documentation and support to help staff through the process.
Can a director be personally liable for company debts?
Usually, directors are not personally liable for company debts due to limited liability. However, if you have given personal guarantees, acted fraudulently, or traded wrongfully, you could be pursued. Our experts will review your conduct and advise on mitigating risks.
How long does the liquidation process take in Stanford-le-hope?
A CVL typically completes within 6 to 12 months, depending on asset realisation and creditor claims. An MVL can be faster, often 3 to 6 months. Our team works efficiently to close your company as quickly as possible while ensuring legal compliance.
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