Insolvent Business Advice
If you’re in need of insolvent business advice we offer a free, no obligation consultation. As industry experts, we understand that no business wants to declare itself insolvent. This normally happens when a company is unable to pay its bills or has far more liabilities than assets. Even if you believe your business is just suffering from temporary financial problems, it pays to get the right advice in case things continue to get worse.
Insolvency in the UK is dealt with under the Insolvency Act and Rules. As a legal process, it’s important to get the right advice, first time. Not only will it help to protect the directors’ of your company, it may even save you money later down the line. There are four main options to consider when managing the process:
- The first is to contact all your creditors and see if you can come to some arrangement. This may well give you the time to recover and get your business back on track. You can also do this in a formal manner by entering into a company voluntary arrangement.
- If the insolvency is more troublesome, you may well find your company in administration which means an insolvency practitioner will take over your business.
- The final option is to go for liquidation. This can be instigated by the directors and shareholders when they agree there not enough assets to cover the company liabilities. Essentially, it means that a liquidator or licensed insolvency practitioner again takes over, closes your company, sells the assets and pays off creditors as far as is possible.
Which option is best for your business will depend on your circumstances. If you are currently experiencing issues around insolvency, it is vital that you get the best advice immediately.
At liquidation.co.uk, we have licensed insolvency practitioners on hand to provide the guidance you need.