Advice to businesses and their owners on trading,or winding up a business. Cost effective solutions for troubled firms

This is an area of particular interest to us. In today’s economic climate there are bound to be some casualties. When finances become overstretched, we can assist the existing management to find a way forward. If the financial management system is creaking, we can recommend simple modifications or get new systems up and running. The important point here is that advice need to be taken at an early stage.

Our staff have been involved in bringing wrongful trading actions, and in reports to the DTI which have led to disqualification proceedings. As a result, we are ideally placed to advise directors on the personal financial risks they take by allowing their companies to continue to trade. The risks are real, and the Companies House register of disqualified directors is there for all to see. (See links)

We can act as liquidators in solvent liquidations, but where these are being carried out for tax reasons we would only be prepared to do so if we were satisfied that proper tax advice was being followed. We do not have sufficient in-house tax expertise, but can recommend tax experts if necessary.

We also take appointments in insolvent liquidations, or as receivers appointed on behalf of secured lenders. However, our involvement at an early enough stage might help to ensure the survival of all or part of the business.

Liquidation proceedings are regulated by the Insolvency Act 1986, and a petitioning creditor need only have a debt of £750. However, there is no Official Receiver in Scotland and a liquidator may only accept appointment if the petitioning creditor agrees to meet any shortfall in his costs. We are prepared to act as Provisional Liquidators to determine if there are any assets before the decision need to be taken whether to seek a winding up order. However, some Sheriff Courts disapprove of this speculative appointment and in this event - for a company which is continuing to trade - we would recommend seeking the appointment of an Interim Liquidator, but withholding advertisement until the debtor company has the opportunity to respond to a faxed copy of the proposed advertisement.

For individuals and partnerships, we can advise on sequestration and the alternatives. In Scotland, an individual or partnership cannot be sequestrated unless the creditor is owed at least £1,500 and a civil servant, the Accountant in Bankruptcy, will act even if it is not clear whether the assets will cover the costs of the sequestration. The Bankruptcy (Scotland)Act 1985 largely governs proceedings, and we act as trustees in various sequestrations,and also as trustees under trust deeds. In addition, where the Accountant in Bankruptcy is appointed, we accept appointment as his agent to deal with all aspects of such cases as are remitted to us. A copy of the Accountant in Bankruptcy's guidance notes (e.g. A Debtor's Guide to Sequestration) are now on www.aib.gov.uk
Details of our authorisation and bonding are noted below.

First meetings with us are always free, and it is usually possible to agree fixed fees in advance of the work being carried out.