Liquidation of a company the process

[totius54]

Liquidation of a company the process:

Once the provisional liquidation been granted Can anybody please map out the process for me.

I need to shake of three shareholder and liquidating the company is the only answer .

I offered to buy their shares, payout their loan accounts. but they stick like shit to a wool blanket.

[Dave A]

Oh lordie - that has to be a last resort

Is it solvent or insolvent?

Not that it makes much of a difference - it's probably going to take ages to wind up whether you try to push the process through or not.

The next step - appointment of liquidator. I think the court appoints a liquidator - hopefully someone can confirm.

[totius54]

Currently the whole country is in recession . I need to down scale the company. My thinking is to buy back the machinery I want . I get rid of these @#$% and can move forward small and lean.

My longterm debt is R700 000.00 and my creditors is +- R1 200 000.00

In the current recession I think I can buy back what I need for less than R500 000.00

I can start running from the word go.

The clients been supporting me for 15 years

[Yvonne]

The ethics of this post concerns me, given the analogy provided - there is very obviously going to be an entire background of facts to this paticular case.

I may be out of line here, but does the forum which is here to support business entrepreneurs need to appear to share advice on "hatch, match and dispatch" of partnerships etc. other than general tips and pointers?

Yvonne

[Dave A]

As you point out Yvonne, we don't have much understanding of the background, so we're not exactly in a position to be judgmental. I think most of us can appreciate it can't be a decision lightly taken and is likely to cause some measure of pain to all involved.

[totius54]

there are basically 3 reasons you can liquidate a company one of them is where directors / shareholders can no longer work together and the company suffers because of it. This is one of them the marriage must end there is no amble way to resolve the issues.
I offered to buy their shares , I offered them my shares. Last resort divorce by liquidation.

[Ramboogie]

Hi Totius54.

What ever happened with your case. I'm interested from the other point of view that the Directors are using their majority to liquidate the company so that they don't have to pay me my loan account (they've alreadt diverted the income to their own cc - there are only 3 of us!)!

[totius54]

If your company is cc the best is to agree to dissolve the partnership and divide the assets .

Pty Ltd . Can be liquidated if there is breakdown of trust between partners .

It is very costly in terms of liquidators fees ( R600 000. evaluation fees , lawyer and and and)

You looking at +- R1 000 000.00 gone.

In my case i stride every thing , the only way to get rid of them was to liquidate . Bought back what i needed . Presto

But it cost big bucks.

I am waiting for the final conclusion and I will then sue them for my loan of R1.5million I lost.