It matters a lot when you’re choosing liquidators or insolvency practitioners for your company. You might need the services of a liquidator for closing your business or for turning an insolvent company into a profitable one. However, the question might appear in your mind regarding how to choose the best liquidator for your company. In this blog, we have thrown light on several essential guidelines which will help you to do so.
Guidelines For Choosing Experienced Liquidators For Your Company
Experience
There is hardly any doubt about the fact that the process of liquidation is quite complicated. In fact, one needs to make lots of effort for learning how to manage this process. As a result, we need to make sure that the liquidators selected by us are experienced enough for getting the job done. However, it is important to know the difference between the actual experience and the length of time that one has worked. There will be lots of variations in liquidation which will depend on specific situations and business types. Make it a point to inquire the prospective liquidators regarding how their experience will help them to handle your case.
Do they have the proper license?
It is important for liquidators to be properly licensed before entering their service. Insolvency practitioners will be able to get a license from RPBs or Recognized Professional Bodies. They ought to be licensed since only licensed insolvency practitioners will be able to undertake the different functions needed in insolvency proceedings.
Must be impartial
While appointing a liquidator, you must focus on the impartiality factor. It will be imperative for the insolvency practitioner to be totally independent of the company. You must not appoint any person as a liquidator in case there is any likelihood of conflict of interest or personal bias.
Faith
Any course of action that might be taken by you in relation to your business can be quite stressful and challenging at the same time. It is of prime importance that you have complete faith in the liquidator appointed by you since you might be required to work with him for quite some time in the future. Although it is the duty of insolvency practitioners to behave with integrity and competence, it is essential for you to be comfortable with them in the long run.
Look for recommendations
When selecting a liquidator, you should treat them in the same way in which you would treat any supplier with whom you might work as a part of your business. It will be a good idea to take the help of personal recommendations when it comes to getting good service. Make use of contacts that have been made by you while operating your business and also explore any suggestions. Focus on reputation even if you do not have any personal recommendations for helping you out.
Charges
Do not make any hesitation to ask the prospective liquidators how much they are going to charge you for the services rendered by them. Many insolvency practitioners will be providing consultation totally free of charge. However, it is important to bear in mind that you should not always go for the most inexpensive one out there.
Conclusion
Make sure that the liquidators appointed by you are able to comprehend your business requirements and personal situation in the best possible way. It will be imperative for you to make comprehensive research while making this important decision of appointing the proper insolvency practitioner since you will be entrusting your business in their hands. Moreover, make sure that their services are available around the clock. Let us hope that these above-mentioned guidelines will be useful to you in the long run.
Comments