If a company is facing financial trouble, directors should seek advice early on regarding what the insolvency of the company will mean for them and what personal liabilities they may face as a result of it, so they can protect themselves as much as possible.
Once a company enters administration or liquidation, the insolvency practitioner appointed to take control of the company will investigate the events and circumstances leading up to the insolvency and have a wide range of powers to take action against the directors if they have acted inappropriately.
The potential risks of insolvency for directors include: the complete loss of power as a director of the business and over the company assets; being personally liable for the company’s debts and disqualification as a director for up to 15 years.
When a company faces insolvency the duties of the directors change from being responsible for promoting the success of the company to acting in the best interests of its creditors.
Amongst others, directors can face the risk of being subject to claims for wrongful and fraudulent trading whilst the company was insolvent and the liquidator/administrator has wide powers to investigate and pursue the recovery of monies transferred prior to the insolvency i.e. all transactions can and will be reviewed.
If you need advice on any of the above, please contact a member of our insolvency team in confidence here or on 02920 829 100 for a free initial call to see how they can help.
I have worked with Darwin Gray for a number of years and the level of service, professionalism and timely response is second to none. I would highly recommend Darwin Gray to any business.”
Darwin Gray have provided us with a first-class service for many years now. They really take the time to understand our business and develop relationships which results in advice and support that is contextualised and effective.”
We have worked with Darwin Gray for several years and have always found their services and advice to be first class.”
An extremely professional and sincere company who make time for your queries and understand the need to break down certain facts and information to ensure everything is understood perfectly. I would highly recommend the company to anyone looking for any type of legal advice”
PSS has worked with Darwin Gray for many years. We have always received an excellent service. Prompt and professional advice and support.”
We have used several departments within DG recently and we have been very pleased with an effective, efficient and down to earth service. Very happy thus far and I expect that we will continue to use DG.”
Darwin Gray offer us truly superb services. Very professional, quick and services available bilingually which is very important to us, highly recommend.”
My “go to” in urgent and time sensitive cases for direction, support and advice. The team are quick to respond to calls or emails for advice and support on all matters. Always explain complex matters in a way a lay person can easily understand.”
Darwin Gray have acted for myself and my company over a number of years and at all times we have been treated with a professional manner yet maintain a common-sense approach at all levels. We couldn’t recommend them more highly.”
We have been clients of Darwin Gray for many years; they’ve always dealt with all of our legal matters with such professionalism. They work around us, even during awkward hours, and we feel confident we can always rely on them.”
Darwin Gray has been acting for Siltbuster for more than ten years. We would have no hesitation in recommending Darwin Gray to other organisations small or large.”
From the very first conversation, I had no doubt that Darwin Gray should be the firm to receive our instructions on this matter. I would have no hesitation in recommending Darwin Gray.”
We regularly instruct Darwin Gray. Their service in dealing with our transactional matters and disputes is always professional, prompt and efficient.”
Darwin Gray guided me through a long and extended process that would have been much more difficult had it not been for their patience and constant support.”
Excellent and efficient service. Great result achieved, highly professional and transparent on pricing. Would recommend.”
Superb legal service provided. Exceeded expectations. They went above and beyond in order to provide the best service possible.”
Very professional and understanding. They were a calming influence in a very troubling situation and they brought it to a very successful conclusion”
We have used Darwin Gray and have been seriously impressed. The personal approach is what Darwin Gray are excelling on and is the reason why we will continue to work with them in the future.”