What is included in CVL fees?
To close your insolvent company through a CVL, you will need to nominate an Insolvency Practitioner (IP). A CVL cannot be conducted without a licensed IP.
There are two fee stages of a CVL:
Pre-appointment stage
It is important that you instruct a reputable and experienced insolvency practice to start your company’s CVL.
The Liquidation Centre charges £3,000+ VAT for our pre-appointment fees. These fees cover the costs incurred by the IP for the work carried out once they have been appointed as the liquidator.
Looking to speak to one of our in-house liquidation experts about how to get started with a CVL? Contact us now.
Post-appointment stage
These fees are costs which are incurred by your appointed IP for the work carried out once they have taken your case and placed your company into liquidation
Post-appointment costs include the following:
- Processing creditor claims
- Valuing and selling all company assets
- Investigations into the running of the company and conduct of all directors running up to the liquidation process
- Reporting on the liquidation process and current status
- Fair distribution of liquidation proceeds to creditors
Post-appointment fees will vary by case. However, the IP will prepare and present an initial fee forecast for your creditors to approve. It is a legal requirement that post-appointment fees be agreed upon, usually by your creditors. Changes can be made to the initial fee forecast, but the IP will need to seek approval for any changes from creditors.
The post-appointment fee will be paid through the sale of your company assets.