winding up a ltd company (partnership)

[giggig]

What is the procedure for winding up a small ltd company? My partner and myself both wish to resign as directors and totally be done with the company, we both have 50% share.

We are owed a bit of money and we will clear all debts etc so no money will be owed to anyone.

Reason for the business closing is that we lost most of our main customers who are now buying from the far east and its impossible to compete with them for price, therefore there is no future in the business.

Who do we contact first? Ive never done this before so its all new to me.

Are there huge fees to be paid? Is it a long drawn out process?

Basically we both want out asap as we are both going to get normal jobs.

[wood1e]

Hi, you have to appoint an administrator.

But you maybe able to wind down the company, pay off the creditors, de-register for VAT, and PAYE. Then resign and de-register the company with companies house.

paying off the creditors I would think is the most important aspect. If the company is wound down, then you can keep it registered and just have it as dormant. Still having to produce company returns for companies house.

The best thing to do is speak to your accountant, he/she will know the full procedure. And if you can do it yourself then you have saved the money on an administrator. Which does cost.

[Nick Dyer]

I agree with Wood1e on some points,

However, having to appoint an administrator or insolvency practitioner (if required) can prove to be expensive, time consuming and can actually interefere with the winding down of a company. Please note, I use the phrase "winding down" , not "winding up" as you originally said.
As directors you may wind DOWN your business. If a creditor takes action against you then it would be classed as winding UP.

If you cease trading, de-register and clear all of your outstanding debts you can apply to Companies House to have your company struck off from the register.

Here's a link that may help

http://www.companieshouse.gov.uk/abo...bw2s.shtml#one

If you have to come to an arrangement with any of your creditors this can potentially frustrate the whole operation. The important thing is to make sure all creditors are paid, all debts due to you are paid and the company has remained dormant for three months.
It can take over six months for the striking off petition to mature ... often it takes a bit longer than that.

I hope this info helps.

Regards

Nick
Cred-X Commercial Debt Recovery