If you want to close your company and start afresh, or simply walk away, a Creditors Voluntary Liquidation (CVL) could be the ideal solution for you. Our experts will work with you to implement the CVL process and liaise with your creditors.
Creditors Voluntary Liquidation is the most common form of liquidation in the UK and our team here at Keywood Group have many years’ experience assisting directors in placing their company into a CVL process.
✓ Swiftly removes creditor pressure.
✓ Outstanding debts are written off.
✓ Halts further legal action and prevents further losses.
✓ Brings an end to worries regarding company debts.
✓ Provides directors with control and comfort in dealing with their chosen liquidator.
✓ Allows employees to claim redundancy pay and unpaid wages from the government.
✓ Provides ability to discuss existing asset purchase.
✓ Can offer support a business needs to continue trading under a separate legal entity.
✓ Innovative Solutions for Directors & Companies in Financial Distress
✓ Clear concise advice about options available
✓ Transparency about costs
✓ Fully nationwide service and experienced staff
We recognise the pressures being faced when you or your business are experiencing financial difficulties and no matter what the circumstances, you or your business will feel at ease once you have spoken to us.
A CVL is a voluntary process initiated by the directors and shareholders of a company having recognised that the company cannot pay its liabilities as they fall due. It is usually seen as an option when a company’s financial position has deteriorated to a point of no return or when directors want to close a company and start afresh, or simply walk away. In such circumstances company directors have a duty to act in the best interests of creditors to protect their position.
Yes. Just because you are a director of a company that is in liquidation, you are not prohibited from being a director of other companies. The two most common scenarios which prohibit you from being a director (or involved in the management, promotion or formation of a business) are if you are declared bankrupt, or you have been disqualified pursuant to the Company Director Disqualification Act 1986. Please contact us to discuss this further if it is of concern.
Yes you can, providing that you follow the correct legal process; otherwise you could face prosecution and personal financial issues in the future.
A CVL is a voluntary process initiated by the directors and shareholders of a company having recognised that the company cannot pay its liabilities as they fall due. Choosing to enter into a CVL protects the company from facing compulsory liquidation which ordinarily restricts any form of control or foresight into the company’s closure.
Providing all financial information in respect of the company is readily available, we always aim to have placed the company into CVL within 14 days of instruction. In some specific circumstances, the process may take a little longer but we will be able to advise you of this upon instruction.
The assets of the company vest in the liquidation estate. As a director, you will have the duty to deliver up all assets to the Liquidator who will aim to dispose of them for the benefit of creditors. An independent agent will usually be engaged to ensure that the best possible price is achieved for tangible assets.
Not necessarily. The prospect of a return to creditors is dependent upon the assets available and costs of the process. Notwithstanding this, the liabilities remain with the company (in liquidation) so you will not be held personally liable for any of the company’s debts. The caveat to this, of course, is whether you have signed personal guarantees for one of more of the company’s debts.
The length of the CVL is dependent upon a number of factors, such as difficulties in realising assets, discrepancies within the company’s financial affairs that need to be reviewed and any other general complexities. A straight forward CVL would typically be concluded within 12 months. There is no time limit for a CVL and some can stay open for many years. Upon the conclusion of the liquidation, the company will be dissolved at Companies House.
Keywood Group are an independent leading Licensed Insolvency Practice, providing fully confidential, no obligation specialist advice in all aspects of business insolvency.
Keywood Group adheres to the Insolvency Code of Ethics and our insolvency practitioners are licensed and regulated by the Insolvency Practitioners Association (IPA). All our practices and procedures are regularly monitored to ensure we adhere to strict guidelines in place by our governing bodies.
Our insolvency practitioners have successfully completed the Joint Insolvency Examination Board (JIEB) requirements and have the requisite practical experience to satisfy your needs.
We are also proud members of R3 who are the trade association for the entire community of the UK’s insolvency and restructuring professionals.
We are accredited by the following industry leading organisations
“Spoken to other companies who said I needed to Liquidate. Spoke to Roger and Harinder who sorted out a payment plan with my main creditor and I can now see my company moving forward”.
“Thank you Keywood for the advice given, straight to the point, in a way that gave me confidence to move forward”.