Creditors’ Voluntary Liquidations
If a company is insolvent and does not have enough money to discharge its liabilities, sometimes the only appropriate course of action is for the directors to place it into voluntary liquidation. A Creditors’ Voluntary Liquidation is the most common way for directors’ and shareholders’ to deal voluntarily with their company’s insolvency.
We are able to provide assistance and guidance to company directors to deal with their statutory and other obligations leading to the appointment of a Liquidator.
A Creditors’ Voluntary Liquidation is appropriate when:
• The company is insolvent;
• The company does not appear to be viable even if restructured;
• The directors do not feel they have the determination needed to rescue the company.
The directors agree to convene respective meetings of shareholders and creditors in order to resolve to place the company into liquidation.
Once appointed by members and then creditors, the Liquidator has three main duties:
• realize the company’s assets;
• agree the claims of the company’s creditors and pay a dividend;
• Investigate the company’s affairs and the director’s conduct.
Simply contact us for free, no obligation advice.
Our team of professional and friendly advisors will guide you through the process of placing your company in CVL.