Been told today company going bankrupt and no wages to be paid

jojane25

My boss informed us that the company is bankrupt and that no one is going to be paid.
I know (through unofficial channels) that he is ‘selling’ our clients to another company (we are a business travel company so they will take over the travel we have already booked and then any travel going forward)

There isn’t an official bankruptcy yet so no receivers or insolvency practitioner in place.

What is my next step (apart from frantically look for a new job).

Will whoever deals with the bankruptcy automatically contact the staff to give us the forms we need to make claims for our money or will we need to keep bugging our boss for this info??

I don’t think he will necessarily go by the book, he’s a sole trader and employs about 25 people.

marlot

Sorry to hear your news.

It's really important that you know what the legal entity is. You say company at one point, then sole trader at another.

A limited company is its own legal identity, so as a shareholder his liability is limited (hence the name 'limited by shares'). As a sole trader, there is little distinction between him and the business. Any business debts become his debts and his personal assets - including his house - are not protected.

Do you have access to your contract - that should say who you are employed by.