Updated: Jul 8, 2021
We partner with some friendly Insolvency Practitioners in London. They always seek the most practical solution for our clients, highlighting all the risks before any commercial commitment is made. They safeguard our relationship with our clients– this relationship is fundamentally important to us.
What do our partners do?
Eliminate all of your debts (typically).
Give you a fresh start or possibly the same business
Allow you to walk away with a clear mind
Your questions answered:
What is Insolvency? When you cannot pay debts as they fall due.
What should I do when my company has an outstanding tax to pay?
Speak to us before speaking to HMRC or anyone else. It might be better to not pay anything yet.
Do the company’s debts affect me personally? (Are my assets at risk?)
No, they don’t. Only in very specific circumstances which we can discuss.
Will my Credit Score suffer?
No (when it’s a company procedure).
Can I be a director of a different company after liquidation?
You need to be aware of using a similar name, there are strict rules here.
If you are disqualified you cannot be a director but this is less frequent than you may think.
Do I get disqualified from being a director after liquidation of my company?
Liquidating a company as a result of insolvency is not a reason for a disqualification.
Disqualification is done in certain circumstances following an investigation done by the Insolvency Service. This depends on the amount and severity of the director’s offences. We can discuss this at length with you.
Why was my application to strike-off the company suspended? Most probably it was blocked by one of the company’s creditors. Often this is HMRC.
What is the limitation to amount of debts to liquidate the company? There is no limitation.
How long is the procedure?
Creditors’ Voluntary Liquidation (CVL) – 2 to 3 weeks.
Members’ Voluntary Liquidation (MVL) – 1 to 2 weeks.
Administration – same day to 3 weeks.
Whichever route, the pressure is half gone from day 1.
Why our partners?
· Expertise of a big firm at a fraction of the cost.
· They sympathise with small businesses.
· Tenacious, technical, practical, flexible, local.
· Meet you face-to-face the same day.
· First meeting always free and confidential.
How do I know that I need an insolvency practitioner?
Don’t let it get worse. Call us at the first sign of trouble. If you do not seek advice then trouble may follow.
Look out for:
Chasing letters from suppliers or landlord.
County Court Judgements (CCJs).
Threats from anyone.
1. CVL - Creditor’s Voluntary Liquidation
What is it?
· The most common procedure.
· Often the best option for companies who can’t pay their debts.
· Hassle our partner reduced.
· Often the debts are turned into zero.
· You get a fresh start.
· This is not a court procedure and therefore is less costly, stressful and intrusive than a compulsory Liquidation.
2. MVL - Member’s Voluntary Liquidation
What is it for?
· All debts have already been paid or will be paid soon.
· The purpose is to be tax efficient once you no longer want your company.
· Common reasons:
o Starting retirement.
o Focusing on family.
o Changing business.
o Going into full-time employment.
3. Administration (rescue)
What is Company Administration?
Where there is a better option than Liquidation.
There will generally be an:
Attempt to rescue the company.
A better result for creditors (even when a business rescue fails).
· Gives you the power to stop any actions against your company, whether it be landlord, HMRC, bailiffs.
· Breathing space for the company.
· Fast - can do this the same day.
4. CVA/IVA - Company/Individual Voluntary Arrangement
What is it?
· A flexible agreement with creditors.
· Lasts 1-5 years.
· Needs 75% of creditors to agree.
· We help you get that agreement.
· Typically pay 10-30p in the £1.
· Remaining debts squashed.
How does it help?
· No damage to your reputation.
· Director remains in charge.
· More time to pay or less to pay.
· Insolvency Practitioner supervises everything.
We can arrange a face to face meeting with our partner – free of charge and confidential.