Voluntary Liquidation

Voluntary Liquidation

Voluntary Liquidation is often used interchangeably with Creditors Voluntary Liquidation. However it should be remembered that it can also refer to a Members Voluntary Liquidation which is a solvent liquidation as opposed to the insolvent Creditors Voluntary Liquidation.

Voluntary Liquidation means simply that it is the company’s Directors that voluntarily start the liquidation process. As opposed to having someone that the company owes money to force the Company into liquidation through Court action. Voluntary Liquidation in either guise is not a Court Procedure.

Creditors Voluntary Liquidation Advice

For Creditors Voluntary Liquidation Advice please feel free to contact us to have all your questions answered. We do not charge for Creditors Voluntary Liquidation Advice.

Creditors Voluntary Liquidation Procedure

The Creditors Voluntary Liquidation Procedure is relatively simple. Once the Company Directors are in agreement that a CVL is the best way forward then two meetings are called. Both usually take place around an hour apart with a meeting of shareholders coming first and a meeting of creditors following on.

The meeting of shareholders appoint the liquidator and the meeting of creditors confirm the appointment. Prior to the two meetings some basic information regarding the company is prepared in readiness for presentation at the meetings.

Notice for the meetings in general terms must be at least 21 days although there are occasions when this may vary. In order to start the Creditors Voluntary Liquidation Procedure a list of names and addresses of all outstanding creditors and current shareholders will be required.