If y.ou’re thinking about closing your company, we can take care of the full liquidation process to ensure it’s straightforward, cost-effective and tax efficient
Voluntary liquidation is a structured process where directors and shareholders choose to close a company. This may happen if the business is no longer needed (solvent) or cannot pay its debts (insolvent.) Whatever the reason, the decision is completely self-imposed and has not been ordered by a court.
Our team of in-house liquidation experts is here to guide you through your options. If you’re looking to close down your solvent company, The Liquidation Centre is here to keep liquidations simple. Call us on 0203 800 0626, or fill in our contact form today to get your liquidation started.
An MVL is for solvent companies, ones that can still pay all their debts. It’s often used when a business is no longer needed and has tax-efficient benefits for shareholders accessing the remaining funds.
If your company can’t pay its debts and things are getting unmanageable, a CVL is a way to close the business down properly. It stops most legal action, and ensures creditors are dealt with fairly.
Choosing to liquidate is not always an easy decision, but there are benefits of voluntary liquidation, especially if you’ve been struggling with paying company debts. Some benefits include:
MVLs are usually completed in 3–6 months, depending on the company’s finances. CVLs start straight away once an Insolvency Practitioner is appointed, but the full timeline can vary.
Yes, UK law requires a licensed professional to handle both MVLs and CVLs. They’ll make sure everything is done legally and properly.
Yes, but if there are debts still left unpaid when the process starts, they will incur 8% annual interest. It’s best to clear debts first to maximise returns for shareholders.