Liquidation

Don’t face your financial problems alone… we are here to help.

Book an Appointment

 Navigating the Complexities of Liquidation with Expert Guidance

Liquidation is a formal insolvency process that involves winding up a company’s affairs and distributing its assets to creditors. It’s a critical step when a business is no longer viable and cannot meet its financial obligations. Understanding the complexities of liquidation is essential for both business owners and creditors, as it involves navigating legal procedures and ensuring a fair distribution of assets.

There are two primary types of liquidation in Australia: creditors’ voluntary liquidation, initiated by the company’s shareholders, and court liquidation, ordered by a court.

The need for liquidation can arise from various factors, including persistent financial losses, unsustainable debt levels, or legal requirements. This process is designed to ensure that the company’s assets are realised and distributed in an orderly manner, minimising losses for creditors and adhering to legal requirements. It also brings closure to the company’s operations, fulfilling its legal obligations.

At EKC Advisory, we provide expert liquidation services to businesses in Australia. We understand the sensitive nature of this process and offer comprehensive support to both business owners and creditors. Our experienced team ensures that all liquidation procedures are conducted efficiently and professionally, adhering to the Corporations Act 2001 and maximising returns for creditors.

Ensuring a Smooth and Transparent Liquidation Process

EKC Advisory brings extensive experience and a deep understanding of Australian insolvency law to every liquidation case. Our team comprises highly skilled professionals with expertise in asset realisation, creditor management, and legal compliance. We are committed to providing clear, practical advice and ensuring that all liquidation procedures are conducted with the utmost integrity and professionalism. We recognise that liquidation is a complex and often stressful process, and we are dedicated to providing support and guidance to all parties involved.

Our approach is centered on transparency, efficiency, and maximising returns for creditors. We work diligently to realise the company’s assets in a timely manner, ensuring that all legal requirements are met and that creditors are kept informed throughout the process. We maintain open communication with all stakeholders, providing regular updates and addressing any concerns that may arise.

We understand the sensitive nature of liquidation and handle all matters with the utmost confidentiality and discretion. Our goal is to minimise disruption and ensure a smooth and efficient liquidation process, allowing business owners and creditors to move forward with clarity and confidence. With EKC Advisory, you can trust that you have a dedicated partner committed to achieving the best possible outcome in a challenging situation.

Frequently Asked Questions: Liquidation

What are the key differences between creditors' voluntary liquidation and court liquidation?

Creditors’ voluntary liquidation is initiated by the company’s shareholders when they realise the company is insolvent or likely to be insolvent in the near future. Court liquidation is ordered by a court, often at the request of a creditor or regulatory body.

The liquidator is an independent professional appointed to take control of the company’s assets, realise them, and distribute the proceeds to creditors according to legal priorities. They also investigate the company’s affairs and report to creditors on the company’s financial position.

Assets are distributed according to a strict legal priority, with secured creditors typically receiving payment first, followed by employee entitlements and then unsecured creditors. Employee entitlements are also given priority.

Directors have specific duties during liquidation, including cooperating with the liquidator and ensuring that all company records are provided. They may also face personal liability if they have engaged in insolvent trading or breached their directors’ duties.

Understand your options and take the first step towards financial recovery

Schedule a confidential consultation today and discover strategic solutions tailored to your business needs

Free Consultation

Customer Testimonials

We are here to help

Thank you for expertly guiding us through the VA process. Never a pleasant experience for anyone, I’m sure, but you and your team kept us on track and got us through this. Shedding the baggage from all the mistakes made in the past will help us move forward. There’s a much brighter future ahead for us now. 

Michael Pearson Lead FX