If a company is insolvent and has no realistic chance of returning to solvency, it will, more often than not, lead to liquidation. For these purposes insolvency means either
- that its liabilities exceed its assets or
- that it cannot pay its debts as they fall due
Crawfords Insolvency has been helping small and medium size companies through the voluntary liquidation process for 50 years and there is little which we have not seen. The process is complex and requires absolute compliance with the letter of the increasingly bureaucratic requirements of the law. Crawfords Insolvency will help you through every step of the way.
The new regulations which became effective in April 2017 mean that there will not usually be a physical meeting of creditors, which removes a common cause of anxiety if your company faces liquidation.
There are many ways of mitigating the impact of liquidation and Crawfords Insolvency will help you with all of this either directly or in combination with your company accountants.
Liquidation should be seen as a useful and entirely lawful device, though directors should be aware that a Liquidator’s duties also include the investigation of delinquent directors and any questionable transactions.