Liquidations
The liquidation of a company can cause stress and disruption to all concerned. At James Coyle & Co, our focus is on managing the process to get the best possible outcome for the shareholders and creditors of the business.
When a company becomes insolvent and is unable to meet itsdebts due then the law requires that it liquidates. Liquidation is a process used to wind up and dissolve a company so that it ceases to exist. The liquidations process releases company assets, identifies company liabilities, and reviews the conduct of the directors. When a company goes into liquidation, a liquidator, such as James Coyle & Co needs to be appointed to assist with the various aspects of the process.
As liquidation experts, we take responsibility for dealing with all aspects of the company including engaging with its creditors, employees, the Revenue Commissioners, and bankers. At James Coyle & Co, we have decades of experience assisting companies with both Creditor’s Voluntary Liquidations, Member’s Voluntary Liquidations, and Court Liquidations.
Voluntary Liquidations
The main difference between a Member's Voluntary Liquidation (MVL) and a Creditors' Voluntary Liquidation (CVL) is that in a CVL the company is insolvent while the company remains solvent in an MVL. The company is able to pay all its creditors and debts. When all liabilities have been paid, the remaining surplus is then paid to the owners.
MVL's are often used where companies are no longer needed for trading purposes. Owners may also want to liquidate the company in order to move property from company to personal ownership. In MVL's, it is essential for the directors and shareholders to consider the full taxation implications of liquidation. Our extensive experience in this area ensures that clients benefit from the most tax-efficient way of liquidating a company. Our voluntary liquidation services also includes advice on relevant company law issues and extraction of a company from within a group, ensuring that the extraction is done in a manner consistent with the core objectives of the business and its shareholders.
