Liquidator when closing a limited company

mel00es

I am closing my limited company which has slightly over 100k. I have been told I have to hire a liquidator and that it will cost 6,000 + VAT and another 1,500 on expenses. Any one has any recommendations on liquidators that could reduce the cost?

Thanks!

pjclar02

Hello there

Not strictly correct - you do not "have" to appoint a liquidator. You can voluntarily wind the company us yourself.

If you want to withdraw the £100k remaining funds and achieve capital gains tax treatment, potentially 10%, then you will have to appoint a liquidator (unfortunately you have missed the boat by a few days to get 10% treatment without appointing a liquidator.

The alternative is to withdraw the remaining funds as an income distribution - presumably you have considered whether this is a viable option tax-wise?

In response to the specific question, you will typically pay at least £4k for a liquidator, and I think the amount you have stated is probably average for a small company liquidation.

SeniorSam

Not essential to appoint a liquidator. If you have a good accountant, they should be able to help you wind matters up.

Sam

Johno100

mel00es wrote: »

I am closing my limited company which has slightly over 100k. I have been told I have to hire a liquidator and that it will cost 6,000 + VAT and another 1,500 on expenses. Any one has any recommendations on liquidators that could reduce the cost?

Thanks!

£100k in the bank? In creditors? In debtors?