Creditors Voluntary Liquidation
A Creditors Voluntary Liquidation (CVL) is a formal insolvency procedure used to close an insolvent company.
If your debts have become unmanageable, you are finding yourself under increased pressure from your creditors, and ultimately you know your business can’t continue, you may take the decision to close your company.
If you are suffering from cash flow issues or creditor pressures a CVL may be right for you.
CVL is the most common form of liquidation in the UK. If you decide to implement a CVL its likely you have little cash flow making it difficult to pay debts and salaries and therefore making it impossible to continue trading.
Implementing a CVL can:
Allow your employees to claim unpaid wages, redundancy, notice, holiday pay from the government
Remove creditor pressures
Halt legal action
You can continue to remain as a Director of any other company you are involved in
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.