We advise individuals whether they be employed, self- employed, or unemployed, on all aspects of personal insolvency.Find out more
We have many years’ experience of winding up solvent companies which have reached the end of their lives.
There may be many reasons to wind up a solvent company:
- to withdraw shareholder capital in a tax efficient manner;
- to reduce annual compliance costs of maintaining dormant subsidiaries;
- the company was established for a specific purpose which has now been completed;
- to eliminate risk of future claims against the company in circumstances where past events present a risk (e.g. product liability claims, employees’ claims etc.);
- as part of a restructuring to transfer assets to other group companies.
The company’s directors must be able to make a declaration of solvency confirming that the company is able to pay all of its debts within the following 12 months. We help the company’s directors to make proper enquiries into the company’s circumstances to ensure that they can safely make such a declaration.
We will then assist the directors to convene a meeting of shareholders to appoint a liquidator.
Adequate planning is the key to ensuring that shareholders expectations are met and the company’s surplus funds are distributed in a timely fashion whilst keeping essential costs to a minimum. So if you are thinking of winding up your solvent company, contact us as early as possible so we can help guide you through the process.