Pros and cons of liquidating assets

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As an example we can see that a director may have been using a company car as their sole family vehicle but once in the liquidation process would have to buy it back from the liquidator to continue to use it.

This is also the case with premises and machinery so it can be difficult for someone who made their living in a very small company to continue in the same way.

The key factor that should determine whether you should dissolve your company or liquidate it, is your level of debt.

This of course can be difficult and examining things in hindsight may feel accusatory.

Directors who have acted properly and in a timely fashion have nothing to fear of course and the investigation should conclude with no further action but for those who have been negligent (or worse) then action could indeed follow.

Given these pros and cons, how should you divide your home?

To discuss which factors might apply in your situation, please contact us for a free consultation.

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