Creditors Voluntary Liquidation – CVL

Steve Ford, our Managing Director, is a Licensed Insolvency Practitioner (MIPA) and Chartered Certified Accountant (FCCA) specialising in providing a professional, friendly service with relatively cheap liquidations for small to medium size companies a speciality.

Contact Steve Ford directly, for a free, confidential chat on 07718 133927 or complete this contact form and Steve will call you back ASAP.

We are confident that we can provide a friendly, professional service at a lower cost to you than virtually any of our competitors. The Liquidator is legally entitled to be paid as a priority when a Company enters Creditors Voluntary Liquidation. Where that is possible, the Liquidation process will not cost the Directors a penny. Assets often include Cash at Bank, plant and machinery or debtors monies due in to the Company.

If you are a Director, and the Company which you are running is struggling, providing you have acted in good faith, it is usually possible to close the Company via a Liquidation without any personal liability. In such circumstances, generally the only personal liability would come from Personal Guarantees which you may have given to suppliers or lenders, or for repayment of any loans which you have outstanding to the Company.

Company Directors often ask, “Can I buy back the assets when my Company goes into Liquidation?”.  If you want to, you are perfectly entitled to purchase the assets yourself for a fair price and start again – where this happens the money you pay will fund the liquidation so you do not end up paying twice.

Where there are no assets in the Company, we will try to be as commercial as possible when quoting a relatively cheap fee for acting as Liquidator. Each situation is different but Steve Ford will be happy to have a conversation with you about this and we will try to ensure that, especially if the Directors have to fund the Liquidation, it is as cost effective as possible.

It is essential that, if you are experiencing problems, you take advice at as early a stage as possible. We offer free confidential advice and will be happy to discuss whatever financial problems you are experiencing.

Creditors’ Voluntary Liquidation is a relatively straight forward process. Our MD, Steve Ford, is qualified to act as Liquidator and therefore you will be dealing with him from the first contact you make to our Company until the end of the Liquidation process.

Phoenix Liquidation

Often a potentially successful business is held back by historic problems. Maybe you have experienced a large bad debt, or need to restructure the business in order to reduce overheads following the loss of a significant customer.

Whatever the reasons, the insolvency legislation is supportive of Directors who realise that trading on their current companies could be deemed reckless and therefore decide to cease trading their existing Company.

Successive governments have taken the view that it is better to allow a responsible Director a fresh start than to trap a Company in a cycle of debt. This approach means that often employees jobs are saved and the new Company which rises from the ashes of the old is in a better position to make profits and to pay its taxes as and when due.

A Director is therefore perfectly entitled to start again providing, through his new business, he is able to pay a fair value for the assets of the original Company. He may also be able to use a similar name to the current Company providing this is handled appropriately and the proper advice is followed.

We can work with you, through reputable agents and valuers, to ensure that a reasonable price, fair to all parties, is achieved. We can also often suggest methods of financing this.

Shut down Liquidation

If you do not wish to carry the business forward then the Creditors Voluntary Liquidation process can be used to effectively notify your creditors of this fact and to allow you to move on to other, hopefully more profitable, projects.

We will work with you to ensure the best value possible is achieved for the assets which will hopefully mean that the process does not cost you a penny.