I Can’t afford To Liquidate My Company.
I can’t afford to liquidate my company. So how may I use the use of a Licensed Insolvency Practitioner? In order that they may assist your company pre-insolvency and then be appointed as Liquidator of a company, therefore, has an associated cost.
To ensure the fees remain paid for the liquidation. The sale of company assets covers typically that. However, in the event, the company has no realisable assets, then what happens then?
Options if I Can’t afford To Liquidate My Company?
However, then to rectify, the position, has three ways forward:
- Directors pay the fee, or
- Apply to strike the company off utilising form S1003 per the 2006 Companies Act;
- Use of directors redundancy claim (subject to conditions).
Utilising the use of S1003 strike-off usually remain used when a company has assets deemed to have no or little value once sold. Often the cost of sale can be greater than the sale value.
It remains an application to Companies House to have the company name struck from the Register.
There are, of course, strict rules which require adherence to with the Companies Act. However, if you fail to abide by these rules, then you may result in liabilities of the company shifting to the directors, personally.
HBG Advisory support lots of UK companies dealing with Companies House. Company creditors often appreciate having licensed Insolvency Practitioners being seen during this process, offering some form of legal surety.
So, directors, subject to no fraud or wrongful trading being evident, remain clear then of any personal liability.
HBG Advisory offer FIXED PRICES GUARANTEED for any work we carry out on your behalf.
Please contact HBG Advisory for further help without any cost or commitment on 0800 612 5448 or visit VIRTUAL. For a secure FREE, Private Confidential chat.
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