The 5 essential steps to take before appointing a liquidator

For company directors who have reasonable grounds to suspect they're at risk of business insolvency, forging a path forward can feel like navigating a series of blind corners. In times of stress and uncertainty, RCR Lawyers help illuminate uncharted terrain, guiding you on a path to the preferred destination (and avoiding costly false steps along the way).

WHAT IS A LIQUIDATOR?

If you've exhausted all other avenues for your company and you (along with a majority of shareholders) decide it's time to wind things up via a creditors' voluntary liquidation, a liquidator will be appointed. As an independent person appointed to oversee the dissolutions of a company that can no longer pay its debts when they fall due, a liquidator has a range of roles and responsibilities under Australian law. Empowered to act on behalf of a company, controlling its activities, money and assets, their primary function is to wind up the company and to generate a return for creditors by