Company Liquidation Services

Liquidations can be used to bring an orderly end to a company’s existence, whether the company is solvent or insolvent. Depending on the situation, different liquidation solutions may be appropriate.

Viable core businesses can still be rescued/restarted via a new company (phoenix).

This is a legal minefield and expert professional guidance is essential for directors to be able to mitigate the risks of personal liabilities and legal offences.

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Creditors Voluntary Liquidation (CVL)

Where an insolvent company cannot be saved, a CVL is a quick and cost effective way to cease trading and for viable parts to be salvaged. Upon instruction, we will deal with all creditor engagement and provide on going advice and support to the directors.

Creditors Voluntary Liquidation Services

Members Voluntary Liquidation (MVL)

If your company is solvent, a MVL maybe the most appropriate method of closing your business in a formal and tax efficient manner. We can advise you upon how to prepare to minimise the cost of the process.

Members Voluntary Liquidation Assistance

Compulsory Liquidation

This is a court process usually initiated by creditors. We can advise companies who have been presented with winding up petitions upon how they can be defended, adjourned, rescinded or otherwise dealt with, including proposing more appropriate processes.

Compulsory Liquidation Services

Insolvency Practitioner

We can advise directors and any other stakeholders (eg debenture holders, finance providers, trade creditors, landlords, employees) who may be involved in any liquidation process.

Insolvency Practitioner Services

Company Liquidation & Closure Services

The above Liquidations all have very different uses and chacteristics,both in the implementation and outcomes.

MVL’s allow the tax efficient return of capital to shareholders,ensuring that the final distribution to them is subject to the lower rates of capital gains tax and not the higher rates of income tax, often with the benefits of entreprenuers relief at a 10% tax rate on the first £1m distribution (subject to meeting relevant criteria).

CVL’s provide a fast and efficient closure of an insolvent company but can also be used as part of a business rescue strategy, facilitating the rescue of viable parts of the business. Directors initate the process and instruct their chosen Insolvency Practitioner.

By instructing the Insolvency Practitioners at Chamberlain & Co, we will deal with the formalities of convening the initial board meeting and calling the meeting of shareholders and creditors. We will also deal with all creditor engagement, employee claims and issues, dealing with HMRC and lenders, relieving the directors from all these pressures.

Compulsory Liquidations are initated by shareholders, directors or creditors petitioning the court for a winding up order. Shareholders usually take this step to resolve the dispute and to get the company wound up to enable a “”just and equitable”” resolution. Creditors usually petition as a final attempt to recover a debt and/or to force the company to cease to trade and to facilitate an investigation of its dealings by either the Official Receiver or Liquidator. Directors might petition as they may think it is the cheapest option to get a company placed into liquidation.

What are the types of liquidation?

Liquidations FAQs

Read our Frequently Asked Questions for businesses section to find answers to commonly asked questions regarding personal financial difficulties.

How do I liquidate my company with no money? (For free)

Unfortunately it is not possible for a company to be liquidated by means of a CVL for free. The Liquidator is paid from realisations from the Company’s assets. If these are insufficient, the shortfall can be settled by the directors, sometimes from some of the monies that they are able to claim under the Redundancy Payments Act.

The Insolvency Practitioner will incur time and other costs prior to appointment in assisting with the seeking of a decision from the company’s creditors regarding the nomination of a liquidator and assisting in the preparation of a Statement of Affairs. Further costs are incurred post appointment realising assets, investigating the affairs of the company, making dividend distributions, filing a report under the Company Directors Disqualification Act and other matters set out in the Insolvency Act, Rules and Regulations.

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