Company Liquidation - Comprehensive Guide for Business Closure in Brisbane

This process is facilitated by Macmillan Lawyers and Advisors, but the main tasks will be carried out by the appointed liquidator. We’ve summarised the process below.

• Step 1: Lodgement of appointment documents: The process is initiated by submitting the necessary appointment documents to officially appoint the liquidator.
• Step 2: Notify government organisations: The liquidator informs relevant government bodies, including the Australian Taxation Office (ATO) and state revenue offices, about the appointment to ensure regulatory compliance.
• Step 3: Director's questionnaire and records request: The liquidator requests that the director(s) complete a questionnaire, and secure the handover or delivery of the company's accounts and records to the liquidator.
• Step 4: Asset collection and sale: The liquidator collects the company’s assets and organises the sale of these assets to ensure an efficient process to generate funds for creditor distribution.
• Step 5: Creditors’ report preparation: The liquidator prepares a comprehensive creditors’ report detailing the financial status and the expected outcomes for creditors.
• Step 6: Books and records review: The liquidator scrutinises the accounts and records, reporting any findings that may impact the liquidation process.
• Step 7: Commence recovery processes: The liquidator initiates recovery processes if there are any indications of hidden assets or assets that should be reclaimed for the benefit of creditors.
• Step 8: Dividend payment (if applicable): If funds are available, the liquidator facilitates the payments to creditors based on the available assets.
• Step 9: Finalisation of liquidation: The liquidation process is concluded with the preparation of a final report for creditors. The liquidator starts the company deregistration process.
• Step 10: Deregistration request: The liquidator submits the necessary documents to request the deregistration of the company, completing the final step in the liquidation process.

What Can Macmillan Lawyers and Advisors Do for Company Liquidation?

Appointment of a Liquidator

Macmillan Lawyers and Advisors understands the importance of appointing a qualified and experienced liquidator to oversee the liquidation process. We provide you with personalised guidance and assist you in navigating this selection process.

Our experience in the industry enables us to suggest liquidators with a strong track record. We will ensure that you have a professional advocate who can effectively handle the complexities of the liquidation proceedings. This step is crucial for a smooth and effective liquidation process.

Notification of Creditors and ASIC

Macmillan Lawyers and Advisors emphasises the importance of transparently notifying all stakeholders, including creditors and the Australian Securities and Investments Commission (ASIC). Our team ensures that the legal requirements for notification are met, and we facilitate open communication channels to keep all parties informed throughout the process. This commitment to transparency fosters trust among stakeholders, minimising uncertainties and potential disputes.

Comprehensive Asset Management

The administration phase involves a series of critical tasks, and Macmillan Lawyers and Advisors are with you every step of the way. Our legal team ensures that all aspects of administration are carried out in compliance with relevant laws and regulations.

Additionally, we work with the liquidator to maximise the distribution of funds to creditors, providing a fair and equitable resolution to the financial affairs of the company undergoing liquidation.

Deregistration for Closure

The final stage of the liquidation process is completion, where the company is deregistered, bringing formal closure to the liquidation proceedings. Macmillan Lawyers and Advisors manages the necessary legal steps to ensure that the company is deregistered per the Corporations Act 2001 (Cth).

Our team works diligently to finalise all legal formalities, bringing clarity and resolution to the liquidation process. This stage marks the conclusion of the liquidation journey, allowing our clients to move forward with a clear legal standing.

Alternatives to Company Liquidation

Macmillan Lawyers and Advisors’ team recognises that liquidation may not always be the only solution. Our team of bankruptcy lawyers can guide you through alternative options such as voluntary administration and restructuring. We provide a thorough assessment of the financial situation and advise on the viability and implications of each alternative. By exploring these alternatives, clients can make informed decisions that align with their long-term business objectives.

Pros and Cons of Company Liquidation

Creditor Priorities and Types

At Macmillan Lawyers and Advisors, we educate our clients on the hierarchy of creditor priorities in a liquidation scenario. We explain the order in which creditors are paid, including secured creditors, priority unsecured creditors, unsecured creditors, and the ATO. By understanding these priorities, our clients can anticipate their potential returns from the liquidation process.

Legal Aspects: Compliance with ASIC Regulations

Macmillan Lawyers and Advisors emphasises the importance of compliance with ASIC regulations. In the complex landscape of company liquidation, we stand out as your reliable partner, offering professional legal advice, personalised guidance, and comprehensive support.

Make informed decisions with Macmillan Lawyers and Advisors by your side, ensuring a smoother journey through the intricacies of the liquidation process.