Start Afresh Liquidation
This service is unique to Liquidation.co.uk as we are effectively entering an insolvent company into Creditors’ Voluntary Liquidation (CVL) but are using it as a business rescue process.
By using this liquidation process in this way it will allow the director of the company to be able to purchase the goodwill and assets of the company and to go forward and trade within a new company minus the debts of the old company.
How does the CVL process work?
The main aim of this process is to dissolve the insolvent company and ensure that all assets are liquidated and any funds that are available are distributed to creditors accordingly.
Once a decision has been made to enter this liquidation process then the company tends to cease trading immediately so as not to accrue any more liabilities.
The decision to enter a company into a CVL is made by the directors but it is the shareholders who have to pass the relevant resolutions to do so at the shareholder meeting. Creditors will then be informed of the company entering into liquidation and requested to attend a Creditors Meeting. (Creditors do not usually attend this meeting but they must have the option to do so). The creditors will be requested to agree on the Liquidator appointed and their fees.
Once the Liquidator has been appointed their main duties are to:
- Realise the company’s assets
- Deal with creditors
- Deal with any employees
- Carry out statutory investigations and prepare all statutory paperwork
- Agree creditor claims and distribute if funds are available
What you can achieve with Start Afresh
- Start again with a clean slate
- Buy the assets of the old company to use in the new company
- Turn your business around and make a fresh start
If you require further details with regards to this service then call in confidence now and speak directly to one of our Insolvency Practitioners who will be able to provide you with free initial advice.