Mark had run his aviation company for 4 years. He personally had invested a lot of money into the development of a new product which was finally showing the first green shoots of success.
We found out about the Winding Up Petition just as we started getting orders through, having worked on a range of products for the past 5 years.
A surprise Winding Up Petition
One morning we got a lot of letters through offering us help with our Winding Up Petition, we didn’t even know things had gone that far! It turned out it had been served on our accountants office as that was our registered office.
Things quickly deteriorated as our bank accounts were frozen, and we realised that all the work we had put into our products could end up being sold to a competitor for a fraction of it’s value.
Accountants recommendation
I phoned the accountant straight away as he suggested, who gave me the number for Zennet Solutions, they had dealt with another of his clients some time ago with a Winding Up Petition and it had worked out well for them.
A quick response
When I spoke to them, they were very understanding and quick to help.
They suggested Liquidation as a solution, we could get the petition adjourned while it was put into place, and we would be able to purchase the Intellectual Property from the company at a sensible figure.
Using Liquidation to defend a Winding Up Petition
It was only two days later when we got the phone call to say that Zennet had secured the adjournment with HMRC (they were the creditor who issued the Winding Up Petition), apparently it was a matter of course for the Judge to accept this and allow us 4 weeks to Liquidate the company in, which was a massive relief.
4 weeks later – a fresh start
We didn’t actually have that many creditors, so the Liquidation itself wasn’t a problem, from start to finish it took 26 days to liquidate the company, I think that was pretty good going by anyone’s standards, and what’s more – we’re in a better position than when we went into it.
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