WHAT IS A COMPANY LIQUIDATION?
Liquidation is the legal process of winding up a company’s affairs. Liquidations are only necessary for insolvent companies (i.e. a Pty Ltd or Ltd company that has been incorporated under the Australian Corporations Act). If you are a sole trader and insolvent, other solutions (e.g. debt agreements and bankruptcy)are more appropriate.
LIQUIDATE YOUR COMPANY WITH A LICENSED PRACTITIONER
A liquidator must be registered and follow the strict procedures set out by the Australian Securities and Investments Commission (ASIC).
Unlike most of our competitors — who advertise themselves as experts but are in fact unlicensed brokers — the liquidators at ACL are fully licensed and insured as per the requirements set by the Australian Securities & Investments Commission.
At ACL, we won’t pass your case onto a third party once you sign the documents and appoint us — the person you speak to on the phone on the first day will handle your case from beginning to end.
We provide a quality service and take into account the urgency involved in liquidating a company and eliminating the risk of personal liability of directors.
WHEN DO I NEED TO APPOINT A LIQUIDATOR?
A company liquidation is only necessary when the company is unable to pay all of its
creditors in full because it does not have sufficient assets. Other reasons to appoint a
liquidator may include:
- A dispute with your other directors and/or shareholders and effective decisions
cannot be made (i.e. you need a Provisional Liquidator appointed)
- The company has made significant taxable gains and you want to distribute these
taxable gains prior to the company being deregistered (i.e. you need a solvent
liquidation or a members’ voluntary liquidation).
At Australian Company Liquidations, we know that no company is the same. Our consultants’ combined years of practical experience and technical expertise will ensure that you obtain the best solution tailored to your company
CLICK HERE FOR MORE LIQUIDATION FAQS AND
In Australia, there are two categories of liquidation:
- Creditors Voluntary Liquidation. This type of liquidation involves the winding up of
an insolvent company by Special Resolution of the shareholders.
- Members Voluntary Liquidation. This type of liquidation is designed for solvent
Unsure if your company is trading insolvently? Fill in our 1 minute self-assessment
survey now to find out where your company sits on the solvency spectrum!