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To help us provide a quote, we ask for a few estimates on your current company finances.

Don’t panic if you don’t have the numbers to hand; just give us your best estimates and our
team of financial experts will be able to help you gather the exact figures in due course.

Number of Creditors?


20


Amounts Owed?
Estimate how much you owe these 20 creditors.


£500K



£500K



£500K



£500K


People that are owed money

Creditors is another term for the people and organisations you currently owe money to.

These creditors may range from loan companies, to suppliers, to HMRC.

Knowing the number and type of creditors currently owed to allows us to assess an order of priority for dealing with all of your outstanding debts.

Bank overdraft / loans

We’re aware that companies in financial trouble may have one of several overdrafts and/or outstanding loan
agreements they are currently in debt on.

Just give us your best estimate of the sum total of the figures that are currently outstanding specifically in
these two areas.

HMRC (PAYE, VAT, Corporation TAX, CIS)

Many companies find that HMRC are one of the creditors they owe the most to, between factors such as their PAYE, Corporation Tax and VAT bills at certain times of the year.

If you can, try to add up all you outstanding HMRC payments and give us a general estimate.

Other individuals/companies

Whether you owe money to one individual or 100 companies, each of them can be classed as a creditor, so the outstanding debt needs to be taken into account.

These debts can include freelance employees with unpaid invoices, stock suppliers who haven’t been paid for items, or agencies who have outstanding bills for services rendered.

Value of company assets

Now for the good news! We always look to cover the costs of a Liquidation - and any repayments to creditors - by using company assets.

Assets could include property, stock, vehicles, equipment and outstanding invoices. We can provide a full valuation of each area, but for now, just select a rough estimate.

Are directors of a company liable for debts?

Debt Advice

Directors of a private limited company (“Ltd or Limited”) are officers of the company and carry no automatic personal liability for the debts of the company.

Personal guarantees

However, there are a limited number of occasions when a director will be exposed to personal liability, the most common one being upon the signing of personal guarantees (“PG”) to obtain finance from banks or trade suppliers. In this type of scenario, assuming the PG has been validly executed then the failure of a company to repay the debt will crystallise the PG and the guarantee will be “called in” by the creditor.

 Breach of duty

Otherwise the only other time a director will be held personally liable for the debts of a company will be in instances where it is held that there has been a breach of his or her duty. Examples of these types of breaches are Wrongful Trading, Misfeasance or failing to properly deal with Section 216 of The Insolvency Act 1986. In these situations, in addition to facing a financial penalty, he/she can also be disqualified from acting as a director for a period of between 2 and 15 years. If your company is experiencing financial difficulties it is very important that you receive a full explanation as to the likely effects or repercussions of a formal insolvency process on you as directors.

Contact the Insolvency Experts

Here at The Insolvency Experts, we have extensive experience when it comes to advising the legalities and available options for a company director.  Speak to one of our Insolvency Practitioners today. Contact us online, or call us directly on  0300 303 8284.

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At the Insolvency Experts we think that our service offers excellent value for money. Depending on your circumstances, our services can even end up being effectively free of charge.


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