Services
Small & Medium Businesses
Every business experience financial difficulty at various stages throughout its existence. Circumstances change rapidly without warning. Although the final option of liquidation is sometimes unavoidable, we pride ourselves on trying our best to avoid unnecessary and costly decisions that impacts on your income.
Restructuring & Insolvency
It is an unfortunate reality that not all businesses and individuals are able to survive in difficult and competitive situations. Some companies may be forced to go into liquidation, just as some individuals may be forced to declare bankruptcy.
We specialise in insolvency and have significant experience in liquidating companies. We perform both solvent and insolvent liquidations and are able to assist and provide assistance to individuals looking to declare bankruptcy, or who have received judgement debts and are looking for options to deal with them.
When and where there is no viable recovery or turnaround, we are well positioned to guide you to resolving the issues you might face in as effective manner as possible.
Recovery
We understand that returns to creditors are important and we ensure the highest possible returns through ensuring that maximum value is obtained for assets. Our efficient administration combined with the necessary tailor-made strategies are implemented in every individual circumstance in the interest of creditors.
Our services include:
Shareholder appointed Liquidations
Court appointed Liquidations
Solvent Liquidations
Receivership
Voluntary Administration
Creditors Compromise
Liquidations
Liquidation brings a company’s life to an end. The Liquidator takes control of the company’s assets and ensure that property is realised for the best possible price. Creditors of the company is paid out in an order of priority in accordance with the Companies Act, 1993 and the surplus, if any, is distributed among the shareholders. Upon completion of his duties the Liquidator will apply for the removal of the company from the Companies Register.
Solvent companies can apply for liquidation for purposes of:
Obtaining Tax free distributions of capital gains.
Restructuring
Where the purpose of the company is no longer required, and the company ceased trading. It should be noted that it does not bring finality to only de-register a company.
Ensure finality in closure.
Companies that are unable to pay their debt as they fall due or which liabilities exceeds its assets can be liquidated voluntary by members. This will also bring the company to an end and a liquidator must ensure that control is taken over the company’s assets and that it is realised in the interest of the creditors. The process thereafter is similar than stipulated above. It is of utmost importance to take formal steps and to start by obtaining advise from an insolvency practitioner as soon as your business experience financial difficulties. Failing to take steps may result in the directors being held personally liable for the debts of the company.
Court Appointed Liquidator
A creditor can approach the Court to appoint a liquidator and usually it is the next step after the service of a statutory demand on the company which was not satisfied. If an application to liquidate a company has been served on the company the shareholders have 10 working days in which they can pass a special resolution to appoint a liquidator failing which the court will appoint a liquidator if the court grants a liquidation order. It is possible for the shareholders and creditors to agree on the appointment of a liquidator after the expiry of the 10 day period to avoid unnecessary cost being incurred.
Receiverships
Appointing a receiver enables secured creditors to protect their interests in the assets that is secured and, if necessary, to realise those assets to satisfy the debt owing to them.
Receivers are appointed by a person or business that holds a deed or general security agreement allowing them to appoint a receiver. The creditor can make the appointment, or it may be by an order of the Court.
Receivership involves the appointment by the secured entity (normally a financier) of a person known as a receiver whose duty is to realise funds from within the company to repay the financier. If a company is already in liquidation a secured creditor may wish to consider their option to appoint a receiver to realise their security interest.
Voluntary Administration
Voluntary administration is a procedure aimed to help get businesses back in the right position and help to retaining jobs, rather than closing the business down. It is a fast procedure and enables various options to be considered whilst the assets of the company are preserved. Creditors are afforded an opportunity to vote on the proposals presented and the accepted proposal is implemented.
Compromises & Proposals
Compromises and proposals can be done in an informal process outside of the statutory regime or in a formal process under the legislation. An informal compromise allows a company to trade without all the additional cost associated with the formal process. Basically an agreement is entered into with the creditors of a company to defer, compound or compromise their debts, with or without additional working capital being supplied or other support being provided.
General Insolvency Advice
We also provide general insolvency advice to you as a creditor, director, shareholder, employee, security holder, or other party in regard to your rights, obligations and options pre and post insolvent circumstances.