Business Phoenix – A New Start
Phoenix Company is a description often given to a new Limited Company established immediately following the liquidation of an insolvent business.
It is perfectly legal to form a new company from the remnants of a failed company. The phoenix company arrangement allows a business to start again and for the profitable elements of the failed business to survive, offering some continuity for both suppliers and employees.
You have built a business, worked hard and it has a value which it has built up over many years, the insolvency of your current or old company is often linked to a specific event that has caused the business to fail, if you believe that you are best placed to protect jobs and take the business forward then we need to talk about a Business Phoenix.
We are in the business of advising and helping entrepreneurs throughout the UK. In short we are in the business of second chances and we have experience in dealing with creditors and other interested parties, and can make the process run more smoothly. Preserving relationships is really important for the future success of the company, so give us a call or contact us through the website to find out how we can help.
The word ‘phoenix’ is given to these companies as in Greek mythology a phoenix bird cyclically regenerates and obtains new life by rising from the ashes of its predecessor.
When such a scenario occurs, creditors and observers frequently ask if this practice is legal, and it’s easy to see why. Often creditors, such as local authorities and water authorities, are obliged to accept such business rates customers without sanction and without question.