Liquidation is the winding up of a firm by selling off its free (un-pledged) assets to convert them into cash to pay the firm's unsecured creditors. (The secured creditors take control of the respective pledged assets on obtaining foreclosure orders). Any remaining amount is distributed among the shareholders in proportion to their shareholdings. Liquidation process is initiated either by the shareholders (voluntary liquidation) or by the creditors after obtaining court's permission (compulsory liquidation).
It helps in restricting losses to the company borne by it in the event the company continues to run legally though dormant in its operations.
The company which is non-operating is permanently dissolved in the eyes of the law.
Unsecured debts post liquidation are written off and are no longer payable by the shareholders or partners.
No legal proceedings can be initiated or continued in the event the company liquidates.
We would help you carry out all legal requirements in all departments of the government to conclude liquidation.
As your liquidator, we would help you to collect the company’s assets and distribute them to the company’s creditors, and in the event of a surplus, to the owners.
We would ensure that all liquidation activities are carried out at the shortest possible time and reduce any unnecessary delays and inconvenience to our client.