My company has no funds available or assets to liquidate can anyone help, what are the procedures for closure of business with no long term effects to my credit history?
The company has unsecured debt and has ceased trading a month ago..
2007-09-22 22:18:38 · 2 answers · asked by Ams 1 in Business & Finance ➔ Other - Business & Finance
I assume you mean Limited Company (as opposed to sole trader / partnership) ?
If so, at the very least the Directors must notify the Creditors that the Company can no longer pay them and has ceased trading .. (I assume one or more of the creditors will apply to have the Company made bankrupt)
... do some research yourself and consult with the other Directors...
NB> it's not unusual for Directors to have signed documents giving personal guarantees eg. to Banks etc. If this is the case you may have to resign and get your Guarantees cancelled before the Company is made Bankrupt otherwise you could still end up holding the baby ..
2007-09-23 19:54:21 · answer #1 · answered by Steve B 7 · 0⤊ 0⤋
You must use an insolvency practitioner, so that you can begin the liquidation procedure. In the event the organization is insolvent the primary occupation of the insolvency practitioner is in which a liquidator is appointed to hold a creditors meeting. But you need to pay minimum fees to insolvency practitioner for all this process.
2014-11-11 06:52:12 · answer #2 · answered by Anonymous · 0⤊ 0⤋