What If I want to shut down my limited by guarantee company?


Hi, my limited by guarantee company has run into financial trouble and I’m afraid it might be time to pull the plug. What do I do now? Do you have any advice regarding how to start the process or who I should inform?



If your company is unable to settle all of its bills, you will have to use the creditors’ voluntary liquidation process. The other two options - getting your company struck off the register and starting a members’ voluntary liquidation - can only be used if your company is able to pay all of its bills.

To liquidate an insolvent company, you must:

  • Get at least 75% of the members to pass a winding-up resolution.
  • Appoint an authorised insolvency practitioner to carry out the liquidation
  • Send the members’ resolution to Companies House
  • Advertise the resolution in your national Gazette

Your duties as a director will change as soon as a liquidator is appointed to oversee the winding up of the company. Further information is available here.

2 years ago

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