Stop a Winding Up Petition
“My Creditors are always on my back, they are threatening a winding up petition. What can I do”
A winding up petition is the most serious action a creditor can take against your business.
Your business is insolvent and cannot pay its debts.
Petitioning a court is a creditor’s last resort when all other forms of collection fail. eg bailiffs, CCJs.
If you need advice or even urgent help, call us today on 01633530600.
We are happy to provide free initial advice regarding your current situation,
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How Creditor’s Petition a Court for a Winding Up Order
Creditors must prove to a court your business is unable to pay its debt.
Legal fees for winding up petitions are expensive, in excess of £2,000 and that is only for the court fees.
You should consider working with an insolvency practitioner before the process involves the official receiver.
As your appointed insolvency practitioner, we will:
- Secure low-cost solutions to otherwise expensive problems if we can broker deals with your creditors.
- Work in the interests of your business and its employees.
Before a court issues a winding petition, your creditor should send you warning letters.
Act now if you are in receipt of a warning letter from your creditor(s)
The legal hearings may take up to eight weeks and in this time it’s best for you to seek professional advice from a licensed insolvency practitioner.
Every situation is different but the most important aspect to moving forward is open channels of dialogue, deals between creditors and insolvent directors can be reached out of court.
These formal arrangements are called a Company Voluntary Arrangement (CVA).
A CVA proposal may case the court date to be adjourned while it is being considered.