So You’ve Been Told You Need a Liquidator, How do You Choose?

Dealing with a liquidation/insolvency crisis is overwhelming – in many cases, making the decision to liquidate is easier than deciding who is going to be the liquidator.

Insolve can help in 2 ways.  Firstly we can put you in touch with a qualified Insolvency Specialist (IS) who can give you a warts and all assessment of what is likely to happen when you appoint a Liquidator; and

Secondly we can provide a list of qualified and experienced liquidators for you to choose from.

Importantly, the Insolve IS will provide an obligation free health check to make sure that you haven’t overlooked any other options and then provide you an honest assessment of what is likely to happen if you place your company into Liquidation.

Beware of people saying they can do it on the cheap!

Some so-called “advisors” try to sell liquidations to vulnerable people who have no knowledge of other options. Often, they charge a “nominal” fee for their unqualified (and usually poor) advice and will entice a liquidator to take on the your matter by suggesting you have taken funds as a preferential payment from the company and are “good for” paying it back.

Because this “advisor” isn’t regulated, insured or part of a professional group, there’s no avenue to complain about them, sue them or have them independently investigated when you find yourself in the David vs Goliath battle trying to prove that you haven’t stolen or borrowed anything from the company.

So, what should you look for?

Ginette Muller, an IS on the Insolve Panel says, “Understanding the basics of what a Liquidator is going to do once you effectively hand over the keys to the company is essential.  A director should be aware that in the absence of clear documentation, Liquidators can very easily interpret the nature of a transaction very diffently to what was intended at the time.  For example, the liquidator may allege you have traded while insolvent, and require you to pay compensation. Knowing that these types of claims can arise simply helps you to prepare ahead of any potential claim.  I think it is very underhanded of some advisors who see the potential for these claims against directors and do not warn them that a claim is likely. Forewarned is forearmed. ”

At Insolve, we don’t believe in throwing you to the lions.  We will give you an honest assessment and recommend a liquidator who will be fair and reasonable. If we can help present your situation in the best possible light, we’ll do exactly that. Give us a call, and let’s help you Tame the Beast!

DISCLAIMER: All content published on this site constitutes general information only and does not take into consideration your personal circumstances. We have used best endeavours to make it as accurate as possible at the time of publication, but be aware information can change rapidly. You should speak to one of our panel members to understand how this information might relate to you.

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Insolserve Pty Ltd, PO Box 2, Grange, QLD 4051 ABN 97 623 054 679

Privacy Policy | Terms & Conditions

DISCLAIMER: All content published on this site constitutes general information only and does not take into consideration your personal circumstances. We have used best endeavours to make it as accurate as possible at the time of publication, but be aware information can change rapidly. You should speak to one of our panel members to understand how this information might relate to you.

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Insolserve Pty Ltd, PO Box 2, Grange, QLD 4051 ABN 97 623 054 679

Privacy Policy | Terms & Conditions

DISCLAIMER: All content published on this site constitutes general information only and does not take into consideration your personal circumstances. We have used best endeavours to make it as accurate as possible at the time of publication, but be aware information can change rapidly. You should speak to one of our panel members to understand how this information might relate to you.

James Flaherty

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