Insolvency
Company Directors need to be very careful in managing Companies which are in financial difficulties. In certain circumstances the Directors of a Company can be held to be personally liable for the company’s debts. An insolvent Company is one which is unable to pay its debts as they fall due. If a Director finds that he/she is unable to pay the debts as they fall due they should seek advice from a professional insolvency specialist as soon as possible. The Company can take action itself and appoint a liquidator, or if the situation becomes hostile, a creditor may appoint a liquidator.
For further information contact Noel Tyrrell or John Mellett.
Liquidations
There three main types of Company liquidations:
- Creditors Voluntary Liquidations (most common)
Creditor’s Voluntary liquidations are initiated by the Directors when a Company is insolvent. The liquidator’s appointment is confirmed at a subsequently meeting of creditors.
- Members Voluntary Liquidations
Members Voluntary liquidations are initiated by the Directors. It is a solvent winding up with no creditor involvement. It can be an effective method for shareholders to unlock Company Assets in a tax efficient manner.
- Court Liquidations
The Liquidator is appointed by the Courts and is an officer of the Courts.
Insolvency Services At Mellett Tyrrell & CO.
- Free initial consultation.
- Advice on all the necessary steps to place a Company into a creditor’s voluntary liquidation.
- Advice on dealing with secured, unsecured and preferential creditors.
- Advice on dealing with Company Employees.
- Act as liquidator.
- Successful track record in winding up companies through Creditor’s and Member’s Voluntary Liquidation.
- Reporting as liquidator to the Office if Director of Corporate Enforcement.