Liquidator VS Official Receiver.
Differences: Liquidator VS Official Receiver?,/strong>
The Official Receiver is a civil servant. They are part off the Insolvency Service. Duties involve personal bankruptcies together with compulsory liquidation via on the back of a Winding-up order.
Insolvency Practitioners acting as Liquidators are not part of the Insolvency Service. They are a separate commercial entity.
So which then is best for me and my company?
Liquidator Vs Official Receiver when Insolvent?
- Is your company Insolvent or Solvent? If your company is struggling to pay bills etc., then the company is Insolvent by “Cash Flow“. Further, if a Winding Up Order is issued and no action is taken to defend it, then the court appoints the “Official receiver” to commence Liquidating your company. It is the duty of the “Official Receiver” to first pay Creditors of the company and not shareholders or directors.