What is Winding Up?<\/h2>\n
\n Winding-up is also known as liquidation. This is the process in which a company\u2019s assets are realised, its debts are paid, and if there are any remaining assets, these are distributed amongst the shareholders. The overall outcome of winding-up will be that the company ceases to exist.\n <\/p>\n<\/p>\n<\/div>\n<\/section>\n<\/div><\/div><\/div><\/div><\/div>
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<\/span><\/div><\/div><\/div>What is a Statutory Demand?<\/h2>\n
\n A statutory demand is a formal written request from a creditor to a debtor, demanding payment of an outstanding debt. It\u2019s a critical first step in the process of making an individual bankrupt or winding up a company.\n <\/p>\n<\/p>\n<\/div>\n<\/section>\n<\/div><\/div><\/div><\/div><\/div>
Things to Consider<\/h2>\n
\n Navigating statutory demands requires careful attention to detail and therefore it is important to note the following:\n <\/p>\n
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- Once a statutory demand is made, the debtor must respond within 18 days.<\/li>\n
- Creditors must verify the debt to ensure that it is legitimate, due, and for a fixed amount.<\/li>\n
- It would be important to then gather all relevant documents to prove the existence of the debt.<\/li>\n
- The way in which you serve the notice is also important as mistakes can invalidate it.<\/li>\n
- If you are the debtor then it would be important to scrutinize the demand for any errors or irregularities.<\/li>\n
- If you are a debtor, it is also wise to explore all options such as payment plans or refinancing to fully understand your position. Having a solicitor\u2019s opinion at this stage is vital.<\/li>\n<\/ul>\n<\/div>\n<\/section>\n<\/div><\/div><\/div>
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<\/span><\/div><\/div><\/div><\/div><\/div>\n \nHow long does it take?<\/h2>\n
\n The timeframe for how long a statutory demand case takes depends on its complexity and the willingness of the parties involved to cooperate. Whilst the debtors have 18 days to respond, if they do not pay or come to an agreement then the case will have to go through court proceedings which add a significant amount of time.\n <\/p>\n
Our costs<\/h2>\n