The Role of UK Liquidators
Official liquidators for UK companies going through a winding-up or liquidation are appointed to oversee the process and take the responsibility for collecting the assets of the company and settling any claims. It is important to keep in mind that statues can vary from jurisdiction to jurisdiction so to ensure your interests are protected throughout the liquidation, you should consult with your solicitor or tax adviser. Once assets have been sold and claims from creditors settled, the liquidator takes the final steps to put the company into dissolution.
Official UK Liquidators Legitimize the Winding Up Process
Exactly how liquidation proceeds depends on the type of liquidation, which in turn, affects the scope of power that is given to the authorized UK liquidators. Members’ voluntary liquidations or creditors’ voluntary liquidations are both voluntary, and are the process used for companies to place themselves into liquidation. MVL offers a company the most latitude in the arrangements between the directors, shareholders, and the liquidator since a members’ voluntary liquidation is done when a company can meet its debt but chooses to close its doors other reasons. CVL is the action a company takes to put itself into liquidation because they are unable to pay their creditors.
Compulsory liquidation is most often used as a last resort by creditors who have become frustrated trying to collect money that is owed to them. Under compulsory liquidation, a court appointed liquidator is empowered to take complete control of all aspects of the company.
With any type of liquidation, the liquidator will facilitate:
A formal meeting with creditors to make them aware of the liquidation and set up payment arrangements
Having the company’s assets inventories, evaluated, and made ready for sale. (This is when companies commonly employ the services of a third-party asset recovery and disposition expert to help in getting maximum value for assets
Settling up with current and past employees if the company is to be immediately closed. Generally the liquidator can determine if the company should continue to conduct business during the liquidation procedures
Rabin is an international company that specializes in creating liquidity for complex manufacturing facilities with idle or marginally productive assets. Rabin Worldwide’s operations include selling entire plants, multiple plant locations, or surplus individual items by auction or liquidation and much more. Past auctions include names such as Hostess, Braniff Airlines, Montgomery Ward, and the Railway Express Agency. We invite you to contact us as we can offer services to complement those of your officially appointed UK liquidators.