Selling Your Company
Q. Is selling my company legal?
In the UK there are over 830,000 companies formed every year. The majority of these are either sold, placed into liquidation or struck off in their first year. Selling a distressed company is the same as selling a company for £1 million. We follow exactly the same process, but of course a lot quicker than a typical sale.
Q. Can my solicitor look over the documents?
Absolutely. Your solicitor will be able to confirm that the process is completely legal and above board and we would not hesitate in recommending further examination of the process.
Q. How long does the process take?
After we receive all the necessary information, the company will be sold within 24 working hours.
Q. How much does the process cost?
The cost varies. This depends on the level of debt the company has. Please get in touch for an accurate quote.
Q. How can I pay for this service?
At present, we accept payment via bank transfer.
Q. Will I have to meet face-to-face?
The transaction will be done completely online. At no point will we ask you to meet us or the new Director in person.
Q. What is in it for you?
As business consultants, we charge a fee for advice and managing the process. Any legal costs will be deducted from your payment, your quote will be an inclusive and final price.
Q. Who are you?
We are part of a large group of debt help websites. We own and manage the 2 largest independent debt websites in the UK, helping over 30,000 people per month. We have vast experience of debt management and the insolvency process. You are in safe hands.
Q. Will I have to file accounts?
No. Once you sell your company we do not require any accounts to be filed, even final accounts. From the point of sale you will be completely free to move on with your life.
Q. Do you take the assets of the company?
Your legal agreement will state clearly that the assets are yours to keep. We will never ask for anything from you after the point of transfer.
Q. Can I avoid paying my debts by selling my company?
Yes. A company is a legal entity. As a Managing Director you must act on the best interests of the company. If you resign as a Director, you no longer have the responsibilities of acting on behalf of the company. This means that any debts or liabilities are the problem of the new Managing Director, and not yours.
Q. Will this stop debt collectors and bailiffs from contacting me?
Yes. Debt collectors and bailiffs will not be able to pursue you directly or visit your home address after you sell your company.
Q. What debts/liabilities can be included in the sale?
Every debt and liability that is owed by the company is included in the sale, nothing is left out. This will include any loans, rates, corporation tax, bounce-back loans, leases and anything else you can think of.
Q. What debts/liabilities can’t be included in the sale?
All company debts are transferred over. If you have personal guarantees on any of the company’s debts, they will still be active unless you settle the account.
Q. What about my company bank account?
We have no interest in your company bank account and we will never ask for access to your bank, unlike the liquidation process.
Q. What do I tell the companies that I owe money to?
You do not need to notify your creditors of the changing of Directorship unless you want to. If you are selling a Limited Company, your main duty is to appoint a new Managing Director at Companies House. We will manage this process for you. For confirmation of this, you can view the Governments online guide. If a creditor contacts you for payment, you can advise them that you are no longer involved in the company and you have sold your shares.
Q. What documents will I receive when I sell my company?
You will receive the same documents any seller receives when they sell their shares in a company. The document is called a ‘Share Purchase Agreement’. This agreement is a legal document, which has been prepared by a solicitor. It will outline the transaction.
Q. Will you be buying my company?
We are brokers. We have a comprehensive list of Managing Directors who are waiting to buy your company and ready to take your place.