Articles

The number of construction sector companies to enter insolvency during the year 2017/18 increased by as much as 6 per cent compared to the previous 12 months.

If you are looking to close your limited company, you may have attempted to strike it off by submitting a DS01 form to Companies House. This process is also sometimes referred to as dissolving or company dissolution.

Although director redundancy is becoming more and more widely understood by insolvency practitioners, some confusion still exists which could severely reduce the amount of redundancy you receive. This confusion occurs when company directors have been paying themselves a salary which falls below legal minimum wage levels.

It is unavoidable that company liquidation does come with a cost attached. As part of the liquidation procedure, a company’s assets will be sold, or ‘liquidated’, by the appointed insolvency practitioner in order to raise as much money as possible with which to settle the business’s liabilities.

There are several ways to close down a limited company, the best one for your business depends on its financial situation and what you want to achieve as part of the closure.

Once a company gets to the stage where it is struggling to keep up with its liabilities as and when they fall due, options need to be considered to protect the business and its creditors from incurring further losses.