What is the difference between dissolving and liquidating a company
Should anything be deemed false on the declaration, the legal consequences can be quite severe.
Find out more about how a creditors voluntary liquidation is carried out. You can call me on 01472 254914 for a free confidential chat where I’ll explain the various options available to you. Before you do, download our free guide, specially written for limited company directors, now.We explain more about Winding Up and Liquidations below as well as some of the other terms you may have come across: Once it has been determined that a company needs to be closed, there are a number of relationships and obligations which must be terminated, these are usually initiated by the company directors, this is a voluntary Winding Up.Whether a company is solvent or insolvent, obligations to customers, suppliers and employees must be brought to a close (wound up).Since the process for winding up a solvent and insolvent company are quite similar, UK law recognises the expertise of Insolvency Practitioners and they are the only professionals allowed to be liquidators.If the company is insolvent or the majority of directors cannot agree on a Declaration of Solvency, winding up would utilise a Creditors’ Voluntary Liquidation procedure.