Advice

[Jacob albert]

Hi there. In an insolvency situation if there is no money in the bank account/very little assets how does the insolvency practitioner get his fees etc. The director has no personal funds to pay. Just advice on how it works. Cheers

 

[Mr D]

Hi there. In an insolvency situation if there is no money in the bank account/very little assets how does the insolvency practitioner get his fees etc. The director has no personal funds to pay. Just advice on how it works. Cheers

I got asked to pay personally for IP fees. Which I could not do having lost my income.
However if you don't use an IP its a few quid to dissolve company. Lot more hassle though.

 

[Ian J]

Hi there. In an insolvency situation if there is no money in the bank account/very little assets how does the insolvency practitioner get his fees etc. The director has no personal funds to pay. Just advice on how it works. Cheers

In the circumstances that you have outlined I doubt whether the IP would take on the job

 

[Mr D]

This may help.

https://www.ukbusinessforums.co.uk/...ich-to-pay-an-insolvency-practitioner.316523/

 

[Jacob albert]

I thought an ip had to be involved to sort out what little might be left and write to creditors etc. Didn't realise you could do it yourself. Thanks for replying. Worrying times and help and advice is appreciated.

Cheers

 

[Mr D]

I thought an ip had to be involved to sort out what little might be left and write to creditors etc. Didn't realise you could do it yourself. Thanks for replying. Worrying times and help and advice is appreciated.

Cheers

Its not easy - creditors and debt collection companies still chase. And takes quite a while as usually one or more creditors (HMRC often) will object to the company being closed.
However companies house eventually ignore objections and close the company.

 

[Jacob albert]

Luckily we are not mega behind with hmrc just on a payment plan for last quarter. Don't owe the banks anything just main creditor oldco and some suppliers. We are trying to stop buying, address the suppliers by working out payment plans and get the over 100k owed by customers in the bank. We might even be able to restart buying after a couple of months and continue in business. If not I guess we just need to make sure nowt owed to bank and hmrc up to date and leave 10k in bank for an ip to sort. I'm guessing if an ip sorts there should be no investigation etc. Not that owts dodgy going on lol but when you work hard and all the stress etc you need rewarding

 

[Mr D]

Luckily we are not mega behind with hmrc just on a payment plan for last quarter. Don't owe the banks anything just main creditor oldco and some suppliers. We are trying to stop buying, address the suppliers by working out payment plans and get the over 100k owed by customers in the bank. We might even be able to restart buying after a couple of months and continue in business. If not I guess we just need to make sure nowt owed to bank and hmrc up to date and leave 10k in bank for an ip to sort. I'm guessing if an ip sorts there should be no investigation etc. Not that owts dodgy going on lol but when you work hard and all the stress etc you need rewarding

An IP would investigate. Its when an IP isn't used and no one pays for winding up that there is no investigation.

However trading while insolvent opens you up to problems, which limited company won't protect you from.

 

[Alan R Price]

I thought an ip had to be involved to sort out what little might be left and write to creditors etc. Didn't realise you could do it yourself. Thanks for replying. Worrying times and help and advice is appreciated.

Cheers

An IP does not need to be involved. The company can be wound up compusorily (by court order), when the official receiver at the helm or voluntarily, where an IP deals with the matter. Have a lok at the link to the Spongebob Plan above.

 

[MikeJ]

Great to see you back @Alan R Price

 

[Alan R Price]

Great to see you back @Alan R Price

Thank you. Just dipping in and out!

 

[JEREMY HAWKE]

Alan is back

This is what the SpongeBob plan was made for .

 

[Alan R Price]

Alan is back

This is what the SpongeBob plan was made for .

Oh dear, what have I started?

 

[JEREMY HAWKE]

Oh dear, what have I started?

You have started another revolution against the IPs they don't like this type of thing

 

[Mr D]

You have started another revolution against the IPs they don't like this type of thing

Can we take a break from revolutions, 4 started in one day is a bit much. Was bad enough when they were started twice a week, can hardly wipe the blood off.

 

[Alan R Price]

Can we take a break from revolutions, 4 started in one day is a bit much. Was bad enough when they were started twice a week, can hardly wipe the blood off.

I have nothing against IPs (having been one for many years) but... horses for courses. And as I always said, Spongebob and I were the opposite sides of the same coin. In cricketing terms, I was the straight bat and he was the slog over cow corner!

 

[Lisa Thomas]

Hi there. In an insolvency situation if there is no money in the bank account/very little assets how does the insolvency practitioner get his fees etc. The director has no personal funds to pay. Just advice on how it works. Cheers

Options would be:

1) Follow the dissolution procedure

https://www.gov.uk/government/publications/company-strike-off-dissolution-and-restoration

2. Speak to an IP about paying their costs in installments, maybe over 12 - 24 months. Can be paid from monies they might be due form the Redundancy Payments Office. Suspect it wil be c£4-£5k.

3 There is also the compulsory Liquidation option through Court but the Directors would need to find the monies up front in full to cover the cost of the Court, legal and VAT costs (est c£3-4k) so probably not useful in these circumstances.

 

[Spongebob]

Alan is back

This is what the SpongeBob plan was made for .

Cases like this are NOT what The Spongebob Plan was made for!

The company has substantial assets - debtors to the tune of £100,000

An IP should be appointed and they will be able to collect their fee from the monies they recover from the debtors.

There - Spongebob can play a straight bat too!

 

[JEREMY HAWKE]

Cases like this are NOT what The Spongebob Plan was made for!

The company has substantial assets - debtors to the tune of £100,000

An IP should be appointed and they will be able to collect their fee from the monies they recover from the debtors.

There - Spongebob can play a straight bat too!

Well I was going by his OP where he stated there was nothing at all ! I did not spot the Golden hen he added as the thread went on

I will admit that ignorance and being in a hurry is no defence but I do a lot of stuff in a day and I often rush through the post quickly in between tasks .

We don't just sit here waiting for the next reply

I am most apologetic for my misreading of the situation but the OP should have been clearer about the situation with the outstanding book