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Liquidator VS Official Receiver


Liquidator vs Official Receiver. – The Official Receiver is a civil servant. They are, however, part of the Insolvency Service. Duties, therefore, involve personal bankruptcies together with compulsory liquidation.

Insolvency Practitioners acting as Liquidators are, however, not part of the Insolvency Service. They are therefore a separate commercial entity.

So which, therefore, best suited for me and my company?

Liquidator Vs Official Receiver when Insolvent?

Is your company then Insolvent or Solvent? If your company, however, is struggling to pay bills etc., then the company is then Insolvent by “Cash Flow“. Further, if a Winding Up Order is then issued and no action is therefore taken to defend it, then the court appoints the “Official receiver” to commence Liquidating your company. It is the duty of the “Official Receiver” however,  to first pay Creditors of the company and not shareholders or directors.

Liquidator when solvent?

If the company is, therefore “Solvent” and can then demonstrate its ability to discharge all its outstanding debts. Then it may appoint its own chosen Liquidator to realize and then distribute available monies possible via a Members Voluntary Liquidation.

Liquidator Vs Official Receiver
Liquidator Vs Official Receiver
Liquidator Vs Official Receiver
Liquidator Vs Official Receiver
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