Members’ voluntary liquidation ("MVL") is used to release a solvent company’s funds to shareholders in a tax efficient manner.
Even though the company is solvent the process of an MVL requires a licensed insolvency practitioner to be appointed as liquidator for the company.
We want to charge you as little as possible for the MVL. Therefore, we ask you to ensure where possible all outstanding matters are finalised before the liquidation starts. Ideally, by the time Brailey Hicks are formally appointed there will only be a bank account left in the company.
In the first instance we will normally meet you with your accountant to discuss the requirements and tax treatment and agree the appropriate timing for the MVL. Other points which we often discuss at this point include:
Brailey Hicks will prepare all the paperwork which you will need to sign to start the MVL process. This will include an indemnity which we always ask you to sign. The first distribution to shareholders is normally made within the first few days of the MVL.
How can we help?
Falcon House, Eagle Road
Call. 01752 349733