Liquidating the company
Call us free on 08 to speak direct to an insolvency practitioner, or click 'free advice' to request a callback: Free Advice The Liquidator will undertake a review of the director’s conduct and report any evidence of unfit conduct to the disqualification unit of the government Insolvency Service, and this may lead to a ban from acting as a director in future.
For smaller companies, the chances of action being taken against the directors are limited.
Now then, this is a voluntary liquidation procedure initiated by the directors because a company is insolvent and unable to its debts debts.
Usually a CVL is requested before a compulsory liquidation can be petitioned by the Court.
Article Tags: Creditors Voluntary Liquidation, Creditors Voluntary, Voluntary Liquidation, Insolvency Practitioner, Company Assets Source: Free Articles from Articles How do I Liquidate my company Derek Cooper is Managing Director of Cooper Matthews Limited, and a member of the Turnaround Management Association UK.
Voluntary liquidation occurs when the members of the company resolve to voluntarily wind-up the affairs of the company and dissolve. Webster’s Unabridged Dictionary To go into liquidation (Law), to turn over to a trustee one’s assets and accounts, in order that the several amounts of one’s indebtedness may be authoritatively ascertained, and that the assets may be applied toward their discharge. Conversion of assets into cash or inventory into accounts receivable to meet current obligations and service long-term debt of an organization. Termination of a business by selling its assets and distributing the proceeds to meet current liabilities and claims of creditors.