Pre-Liquidation Preparation - CapitalQ

Pre-Liquidation Preparation

If the decision has been made, or it is an inevitability like it or not, that your Company will be going into Liquidation this is a process you would much rather undertake with a level of control and pre-planning, rather than letting it get completely out of your hands.

If you are proceeding to the liquidation by choice, you need to get your ducks in a row ready for the handover to the Liquidator so that you have the tax consequences addressed, ownership and control of Company assets you wish to retain transferred beforehand and of course to reduce the cost of the liquidation itself.

While there is less you can do if you are proceeding to liquidation because the Company is failing, there are still preparations that should be made. Small things like ownership and control of phone numbers, emails can all of a sudden become big problems if not addressed in advance.

Bigger items like access to your business premises, personal or other entity assets held with or otherwise intermingled with Company assets could become caught by the Liquidator’s net.

And then, of course, there is the issue of personal guarantees, director liabilities and related party loans. You don’t want surprises, because one the Liquidator takes control, they will be working for your Creditors, not for you, and you want to minimise the impact on your personal wealth, your other business and investments interest, and your life in general.

So please, don’t put your head in the sand, and don’t just take the easy option of washing your hands and attempting to walk away. Because very often it simply can’t work that way and instead this could become an ongoing saga like you never considered.

More about Accounting & Tax

ARE YOU A BUSINESS OWNER WHO WANTS TO PAY LESS TAX?

Book your FREE,
No Risk, Initial
Consultation today
and receive our
FREE GUIDE TO
BUSINESS SUCCESS

What our customers say

Logo for Ray Ellis

CapitalQ helped me get off the 9 to 5 treadmill and effectively retire from real work in my late twenties.

I am a property person through and through. I believe there is no better way to build genuine wealth than via property. I have undertaken residential property investing and residential property developments (large and small) and as a result effectively retired from real work in my late 20s. Throughout that time Duncan and the Team at CapitalQ have been my partners (both as advisers and at times literally by taking interests in my projects). I would recommend to anyone thinking about venturing into property investing to ensure CapitalQ are part of the process and watching your back. You need sound personal budgeting, investment analysis, project costing, appropriate structuring, short term and long-term tax planning and ongoing tax advice (and not just covering Income Tax but also GST, Land Tax, Stamp Duty, the list goes on). CapitalQ know all aspects of the property game, and have the hands-on experience as well. Many think property investing is easy, but I can assure you, without the right partner providing the right advice, you will come undone.
Ray Ellis Ray Ellis

Ray Ellis

Property Investor and now owner of Xceed Real Estate

Footer
LinkedIn icon