Insolvent company

Discussion in 'Insolvency' started by Iffy22, Feb 8, 2018.

  1. Iffy22

    Iffy22 UKBF Newcomer Free Member

    Posts: 20 Likes: 0
    Hi All,

    Can I remove assets from my Ltd Company which has ceased trading and is insolvent?
     
    Posted: Feb 8, 2018 By: Iffy22 Member since: Jan 26, 2018
    #1
  2. Mr D

    Mr D UKBF Legend Free Member

    Posts: 5,012 Likes: 489
    You can buy them from the company. Or you can have a new company buy from the insolvent company.
     
    Posted: Feb 8, 2018 By: Mr D Member since: Feb 12, 2017
    #2
  3. Spongebob

    Spongebob UKBF Ace Free Member

    Posts: 2,102 Likes: 1,066
    What sort of assets are we talking about and what do you mean by "remove"?

    If they would otherwise be seized by the landlord it is perfectly lawful to remove assets and put them in a place of safe keeping.

    If the realisable value of the assets is sufficient to fund the appointment of a liquidator, then that is what they should be used for. If they are of minimal realisable value, the situation is a little muddier.

    We need more information.
     
    Posted: Feb 9, 2018 By: Spongebob Member since: Dec 9, 2008
    #3
  4. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

    Posts: 1,683 Likes: 208
    What are you doing with the Ltd Co? If it has sufficient assets it should be Liquidated.

    You can buy the assets back at market value based on a professional valuation - the Lqr would help you with this to ensure you are not committing any misconduct.
     
    Posted: Feb 9, 2018 By: Lisa Thomas Member since: Apr 20, 2015
    #4
  5. Iffy22

    Iffy22 UKBF Newcomer Free Member

    Posts: 20 Likes: 0
    Hi SB

    The business was a coffee shop, assets included couple of fridge/freezers, tables & chairs, and dry stock which the market value is 2K to 4K hence not enough to appoint a liquidator.
    Can I Remove them and put them in a safe place till one of the creditors decide to liquidate the company.
     
    Posted: Feb 9, 2018 By: Iffy22 Member since: Jan 26, 2018
    #5
  6. Iffy22

    Iffy22 UKBF Newcomer Free Member

    Posts: 20 Likes: 0
    Hi Lisa

    I have declared myself bankrupt and resigned as a director. The company has no director as I was the sole director. There isn’t sufficient assets to pay the creditors.
     
    Posted: Feb 9, 2018 By: Iffy22 Member since: Jan 26, 2018
    #6
  7. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

    Posts: 1,683 Likes: 208
    £3-4k is enough to Liquidate through Court but you no longer have the power as you are no longer a Director due to your Bankruptcy.

    Creditors will be highly unlikely to Liquidate.
     
    Posted: Feb 9, 2018 By: Lisa Thomas Member since: Apr 20, 2015
    #7
  8. Iffy22

    Iffy22 UKBF Newcomer Free Member

    Posts: 20 Likes: 0
    If I was still a director would I have to sell the assets first then pay the court fees which is £1880. What will I be liquidating if the assets are sold?

    Also, as I no longer have power what happens to the company and assets now?
     
    Posted: Feb 9, 2018 By: Iffy22 Member since: Jan 26, 2018
    #8
  9. Lisa Thomas

    Lisa Thomas UKBF Enthusiast Free Member

    Posts: 1,683 Likes: 208

    The Company has been left in limo and will probably be struck off by Companies House in the future for non filing of statutory returns.

    At which point any assets remaining will vest in The Treasury Solicitor/Bona Vacantia.

    In practice no doubt abandoned for the landlord to deal with.
     
    Posted: Feb 9, 2018 By: Lisa Thomas Member since: Apr 20, 2015
    #9