Effects of Members Voluntary Liquidation
Placing a company into liquidation has far-reaching effects on the company and on what it can and cannot do. Those effects will be set out in the company’s constitution and also in the Corporations Act.
Most importantly, upon the appointment of a liquidator, all of the powers of the directors cease. The liquidator effectively replaces the directors. In practice, the liquidator will consult with the directors and shareholders and seek their views on issues that arise. The corporate structure and corporate powers of the company continue until it is dissolved.
If you’d like to discuss Member’s Voluntary Liquidation with one of our advisors, why not call us for confidential, free advice .
Want to know more about winding up a solvent company? Visit these pages :
- Member’s Voluntary Liquidation (MVL)
- The MVL Process
- MVL vs. Voluntary Deregistration
- Voluntary Deregistration
- Forced Deregistration
- Who can act as Liquidator?
If you would like to learn more about the Members’ Voluntary Liquidation, please access our full Members’ Voluntary Liquidation guide created by Dissolve’s specialists explaining this in detail.