McTear Williams & Wood have the experience to assist your business even when it is in compulsory liquidation. Find out your options – call us now on 0800 331 7417
A compulsory liquidation is the result of a winding up order. It is the last resort for creditors seeking to reclaim monies when all else has failed. Even if your initial debt is paid to the petitioning creditor it is possible for other creditors to take over the petition and continue the court action. Nonetheless with the right business plan and early action it may be possible to turn your business around.
Before a winding up order is made the creditor has to file a winding up petition in Court . This comes at a considerable cost to the creditor and starts the process of shutting your company down, triggering the sale of its assets at a later point, which will be used to against the debt.
Most companies suffer distress at some point during their lifespan. By talking to McTear Williams & Wood you access sound accounting, business rescue and legal knowledge assisting you in salvaging value even at this late stage. Even if you have a winding up petition against your company. You still have a number of choices that could resurrect your business.
The official receiver’s powers begin from the point in time that the court grants the winding up petition. This means that any monies paid to your creditors, in particular debts paid to directors, can be pursued and returned to the company. Even if your initial debt is paid to the creditor, it is possible for another of the company’s creditors to substitute their debt for your original debt.
By acting quickly you ensure that you keep as many options as possible open to you – don’t leave it too late to achieve the outcome you want.