Winding up a company refers to be the processes involved in closing a company down. This may include paying creditors, selling assets or concluding where possible any other business obligation. It is often followed by a liquidation.
The term winding up a company is usually used to describe the process of closing a company which is unable to pay its debts as they fall due, the process for doing this is a liquidation and has to be carried out by a licenced insolvency practitioner such as Kate Ellis and Emma Mifsud at Walsh Taylor. The process may either be a Creditors Voluntary Liquidation or a Compulsory Liquidation.
It is also possible to carry out a solvent liquidation if the company is able to meet all is obligations, this is called a Members Voluntary Liquidation.