Simplify Your StructureSimplify Your StructureSimplify Your StructureSimplify Your Structure
  • Home
  • Why Simplify Your Structure?
  • Routes to Closure
    • Capital Reduction
    • Strike Off
    • MVL
  • Our ADAPT Model
  • Why mlm Solutions?
    • Our Team
    • Our Approach to Fees
  • Get in Touch

MVL

  • Capital Reduction
  • Strike Off
  • MVL
Home Routes to Closure MVL

Summary

The solvent liquidation process where tax-efficient distributions are made to shareholders after all creditors are paid in full.

Suitability

  • Company must ensure all debts plus interest can be paid in full within 12 months

Process

  • Directors make a formal declaration of solvency
  • Resolutions passed at a general meeting of the shareholders (or by written resolution) to wind up the company and appoint a liquidator.
  • Liquidator realises remaining assets, pays creditors in full and distributes remaining funds to shareholders

Directors Risk

  • Once the company ceases to exist, there is no recourse to shareholders or directors.

Limitation Period to Restore

  • 6 years except for personal injury proceedings where there is no limit

Cost

  • Varies depending upon the number of companies

Pros

  • Qualified Insolvency Practitioner acts as Liquidator
  • Liquidator agrees or rejects creditors’ claims including contingent claims which protects distributions to shareholders
  • Distributions are treated as a capital return
  • Distributions to shareholders are protected from being challenged as illegal

Cons

  • More expensive than other options
  • Control of the company’s assets passes to the liquidator.
  • Advertisement for claims published as part of the liquidation process (notice emphasises that the company is solvent) however risk of reputational damage

    Your Name (required)

    Your Email (required)

    Your Contact Phone Number

    Company Name

    Background Information

    Please note, all enquiries will be dealt with the upmost confidentiality. Any details held will be secure and solely for the purposes of helping us develop the best solution for your corporate structure.

    mlm Solutions are a financial recovery, restructuring and debt advisory boutique committed to assisting debtors and creditors to address their financial challenges.

    You can find out more about our wider services at:
    www.mlmsolutions.co.uk

    • Why Simplify Your Structure?
    • Routes to Closure
    • Our ADAPT Model
    • Why mlm Solutions?
    • Get in Touch
    Copyright 2016 mlm Solutions | All Rights Reserved
    • Get in Touch
    • Home
    • Our ADAPT Model
    • Routes to Closure
      • Capital Reduction
      • MVL
      • Strike Off
    • Why mlm Solutions?
      • Our Approach to Fees
      • Our Team
    • Why Simplify Your Structure?
    Simplify Your Structure