In most cases the answer would be no. However, you will need to be aware of all debts that you may have personally guaranteed. This may include some creditors, loans, overdrafts and in some cases PAYG and Super. We will help you work out what the liability, if any, is tied back to your personally.

Phoenix Companies are used to transfer assets illegally and to avoid paying creditors. If a sale of assets is not carried out correctly – and legally – then the directors could have problems in the future with a liquidator, ASIC and the ATO.

Once a company enters into liquidation, the ownership of that business and its affairs fall to the liquidator. Unless you have personally guarantees with your creditors, you can direct all correspondence to the liquidator.

Yes. If you intend on using the assets of a company that is about to enter liquidation you must purchase them for a fair price and sale agreement. If you do not then you may be participating in illegal phoenix activities.

Yes of course, provided it is purchased out of the company that is about to enter liquidation.

Again, no two business are the same and this would show in the work that needs to be undertaken for us to successfully work with them. However, a tailored business solution document will be provided for you which will include in it a measured project cost.

Yes. There is no automatic prohibition on a director of a company that enters liquidation holding another, or many other, directorships. However, the Corporations Act gives ASIC the power to ban someone from being a director for a period of up to five years if they have been a director of two or more companies that entered liquidation within the last seven years

Yes, this will be recorded on your credit file, but not as a severe record. Credit Reporting Agencies keep track of companies that enter liquidation (for insolvent companies) and the names of the directors of those companies. However, a liquidation is not a bankruptcy. Or even a personal judgement. A company is a separate legal entity to a director and the company’s directors are not automatically liable for a company’s debts. A personal bankruptcy or a personal judgement is a serious black mark on your credit rating – being a director of a company that went into liquidation is a less serious mark.