Can I buy back my Business and/or Assets from the Liquidator?

When your company gets placed into Liquidation, all its assets will be dealt with by the Liquidator(s), who will aim to recover as much money from the assets as he/she can. This will include e.g. machinery, vehicles, stock, offices/warehouses, trade debtors, any intellectual property and goodwill.

You or a new company promoted by you may have a chance to buy back assets, but only if you make the highest or only bid and your offer is recommended by an agent acting for the liquidation.

However you may not be able to operate under the same name, unless appropriate disclosures to creditors or court applications are made.

Always think carefully before deciding you want to buy your company’s business and assets back. There is no point in doing this if the past history indicates that the company is not viable. It is crucial to have a plan as to how you are going to make it work and trade profitably next time round. You should ensure you have sufficient funding to purchase the assets and provide cash flow going forward as you may find it hard to locate bank and other funding for your new business after a previous insolvency.

If you would like to discuss any of these points further, Chamberlain & Co can assist with advice regarding the purchase of your company’s business assets, the valid re-use of a company name and possible sources of finance for a new business despite an earlier insolvency. Call 0113-8681203 or by filling in our contact form.