Creditors Voluntary Liquidation
A Creditors Voluntary Liquidation (CVL) is a formal insolvency procedure that enables directors of an insolvent company to voluntarily close their business. This process involves liquidating the company's assets to repay creditors, offering a structured approach to manage unmanageable debts and persistent creditor pressures.
Key Benefits of a CVL:
Employee Claims: Employees may be eligible to claim unpaid wages, redundancy payments, notice pay, and holiday pay from the government.
Relief from Creditor Pressures: Initiating a CVL can alleviate ongoing demands and actions from creditors.
Legal Action Halted: The process can stop existing legal proceedings related to debts.
Director Eligibility: Directors can continue to serve in other companies without disqualification.
At Westgates Restructuring, we specialize in guiding businesses through the CVL process with professionalism and empathy. Our experienced team offers tailored advice to help you navigate financial challenges and explore the best path forward. If you're facing cash flow issues or creditor pressures, acting promptly is crucial. Contact us today for a free initial consultation to discuss your options and determine if a Creditors Voluntary Liquidation is the right solution for your company.
If you simply can’t see a way to carry on trading under your current circumstances act quickly and contact us now. We can help you find the best way forwards which will enable you to close your company and start again. Contact us now for a free initial consultation.
Alternative Company Closure Solutions
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If you’re closing a solvent company, our Members’ Voluntary Liquidation (MVL) service provides a structured and tax-efficient solution. We help maximize shareholder returns while ensuring a smooth and fully compliant liquidation process.
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For individuals struggling with unmanageable debt, Westgates Restructuring offers expert bankruptcy advice and support. We guide you through the process, helping you understand your rights, responsibilities, and possible alternatives for financial recovery.
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When a company is unable to pay its debts, creditors may force it into compulsory liquidation. Our specialists provide clear guidance on your legal responsibilities, the winding-up process, and potential ways to mitigate the impact.