Adopting a "Court Liquidation" solution
(Liquidation & Provisional Liquidation)
Who'd be interested in Liquidation & Provisional
Liquidation?
How does Liquidation and Provisional Liquidation help?
What should you do now?
Winding up Checklist and Guide
Why Clout & Associates?
Who'd be interested in liquidation &
provisional liquidation?
You would be a creditor and are owed money by your debtor and the money is proving difficult
to collect.
The debtor is a company not an individual.
Your debt would be unsecured and there is no dispute that the money is owed.
The amount owed to you is more than $2,000.
How does liquidation & provisional liquidation
help?
Liquidation and Provisional Liquidation has the affect of taking the assets and control of the company away from the directors
who are not cooperating into the hands of an independent third party called a liquidator.
The liquidator is a court appointed officer and responsible to the court and creditors to collect and sell the assets and
distribute the proceeds in accordance with the law to creditors.
Often the threat of liquidation will be sufficient to coerce the payment out of the debtor.
Provisional Liquidation is an interim step where you the creditor, may have reason to believe that the assets of the company
may be at risk so that once you have notice of this and you have commenced the winding up process you can make application
for a court appointed provisional liquidator to preserve the position of the debtor company until the court has had the
opportunity to consider the winding up petition.
What you should do now
To place a company in liquidation or wind it up costs in terms of legal fees. So the first thing that should be ascertained
is whether if nothing else there will be sufficient assets in the debtor company to at least cover the legal costs which
generally range from about $2,500 to $5,000 depending on the difficulties experienced in the process. The reason is that
the costs of winding up the company ranks first out of the assets of the company. The significance for you as a creditor
is that if nothing else you are no worse off if there are not enough assets to pay your debt.
Next you should compile all the backup documentation to prove your claim and take it to you solicitor. If you do not have
a regular solicitor we can refer you to someone with experience in this area.
Part of the winding up process will be the obtaining consent to act from a registered Official Liquidator, which needs
to be filed with court. We are able to act in the capacity as a court appointed liquidator.
Winding up Checklist and Guide
The following links are to web pages contained on the Australian Federal Court website and have been added to our website
for your convenience.
Corporation - Winding Up Checklist
Corporation - Winding Up Guide
Why Clout & Associates?
We are business recovery and insolvency specialists. This is our main facet of our practice and there is vast experience
within our ranks.
We are one of very few court appointed liquidators in the north of the state.
With offices located in Coffs Harbour we operate in the region of your business so that we can move quickly to take possession
and not cost in terms of travel costs and time.
For target debtors outside our region we have long associations with trusted practitioners who can take possession quickly
for us when the need arises.
Our fees have been adjusted to cater for the size of businesses in the regions and the lower overhead structure we all
operate under.
Being in your area means you get answers and will not be fobbed off.
To discuss your options click here
for our contact details.
|
