If your company is insolvent, and you want to limit your liability - liquidation is the simple solution. Call 01242 576 555 now.
The primary purpose of a limited company is to liquidate it.
Let’s be honest, limited liability is why you formed the company in the first place – to avoid personal liability for the debts of the business in the event it went bust.
In the event of insolvency, to limit your liability, you need to liquidate the company.
When a limited company is placed into liquidation, the shareholders and directors are not personally liable for the debts of the company, unless personally guaranteed. Once the company is in liquidation, creditors cannot take legal action against either you or the company (except for any P.G.’s).
The Liquidator once appointed, takes legal control of the company from the directors and deals with the winding up, at which point the directors are free to pursue new opportunities.
How to Liquidate
It is cheap, easy and fast.
It is a simple three step process, involving three meetings:
- 1. Directors board meeting
- 2. Shareholders meeting
- 3. Creditors meeting
The directors are able to buy the assets of the company from the Liquidator, should they wish to do so, and use the assets to trade a new business.
Only a licensed insolvency practitioner is legally able to act as liquidator.
Call us on 01242 576 555 to speak direct to an insolvency practitioner, or click 'free advice' to request a callback:Free Advice