Prinsloo and Associate Attorneys

Get Rid of Business Debt (SARS included) in 5 Days

Everyone deserves a fresh start.

Is debt and SARS ruining your business? It is your legal right to be debt free.

Liquidation is the tool to get you there.

Get your business back on track. Get rid of sleepless nights, worry and fear. Liquidation is THE tool that can set your business free from debt (even from SARS).

The Benefits of Liquidation

  1. Stop harassment from creditors
  2. Get rid of SARS and company debt
  3. Sleep again
  4. Continue with business if you want
  5. Fresh start
  6. Control of cash flow again
  7. Peace of mind
  8.  No more fear and worry
  9. Very quick
  10. Creditors must deal with liquidator not with you
  11. You can buy your assets back
  12. You can continue to trade you don’t have to stop
  13. You don’t get blacklisted just because you liquidate

How do you Liquidate a company

There are two ways to Liquidate a company or close corporation…

COMPANIES OFFICE LIQUIDATION

A company can be Voluntarily liquidated at the Companies Offices.
Liquidation at the Companies Offices takes about one week. The cost is much lower than a court application.
We will draft documentation that the director will sign, return it to us, we lodge it and within 3 – 5 days the company is Liquidated.

HIGH COURT LIQUIDATION

A company can also be Liquidated by means of a High Court application.

High Court Liquidation applications are expensive and takes about 2 months plus. If the company is voluntarily liquidated, it is better not to bring an application in the High Court from a cost and time perspective.

Liquidation is a Two-Legged Process

THE FIRST LEG

The first leg of a Liquidation is to get the company Liquidated. That is what we do best.

We will help you Restructure your business if you want to continue to trade,

We will draft all documentation, arrange signature with you and lodge them to effect the Liquidation.

THE SECOND LEG

The second leg of a Liquidation is to wind-up the insolvent estate. A Liquidator is appointed by the Master of the High Court.

The Liquidator deals with creditors – you do not have to.

Any assets that the company may own will be sold by the Liquidator (the director can buy it back). If any proceeds, creditors will be paid and that which they do not receive will be written off.

If there are no assets, the creditors will get nothing and they must write all balances off.

SARS DEBT

Liquidation writes off SARS debt (except taxes owing in terms of the Customs and Excise Act).

STAFF

Staff can claim UIF for salaries. Staff can claim unpaid retrenchment/ salaries from the Liquidator after Liquidation. If the business owner continues with business, staff can be taken into the new company.

SURETY

Any debt that a director signed personal surety for will not be written off after Liquidation. If affordable, one can enter into a payment plan. If not, one can consider personal sequestration to get rid of the debt.

Benefits of Voluntary Liquidation

CONTINUE WITH BUSINESS

It is possible to continue with the business after Liquidation.

We do it through a Restructuring process that we will discuss with you before you Liquidate. 

DIRECTORS NOT BLACKLISTED

The directors are not liable for the debt of company unless they signed personal surety. Liquidation only affects the company.

Directors are not blacklisted if a company is liquidated.

You are obliged to Liquidate a company that cannot pay its debt

The Companies Act states that as soon as a company cannot pay its debt, or where liabilities exceed assets, there is a duty on directors to Liquidate the company, otherwise the director can be held personally liable. It is therefore best to Liquidate sooner rather than later.