Updated: 5th February 2020
Published: 17th September 2014
Winding Up Orders/Petitions and Statutory Demands require immediate action on the part of company directors. We can help you handle pressure from creditors and deal with the worst of your debt management problems in a clear and considered fashion. Find out more about Winding Up Orders and Petitions, and Statutory Demands by clicking the video below.
A winding-up petition is an extremely serious statement of intent by a creditor who, in effect, is seeking to shut down your company due to unpaid debts. It is the strongest action a creditor can take against your business and is often the natural next step in the debt-chasing process after a statutory demand for payment has gone unheeded.
A statutory demand and, even more importantly, a winding-up petition require immediate action on your company’s part. A company that cannot pay its debts when they fall due is insolvent and in such circumstances it is appropriate to see urgent advice from a licensed insolvency practitioner.
Unless steps are taken to quickly deal with the petition, the petitioning creditor will proceed to advertise the petition which can alert other creditors to the existence of this petition and stir them into action too. When your bank becomes aware of the petition, they will take steps to freeze the company’s bank accounts and no further transactions will be possible. Obviously this can cause numerous problems for yourself and the business.
It is therefore imperative that you speak to us as soon as the petition has been received rather than attempt to ‘trade out’ of the problem as once your account is frozen, options available for your company are dramatically reduced.
We help companies of all sizes from large international firms to smaller businesses including new start-ups and can help you postpone or avoid a winding-up process and subsequent liquidation. Depending on the circumstances, we may even be able to get your business operating normally again.