Member’s Voluntary Liquidation

What are the Advantages of an MVL?

  • A tax efficient way for getting money back to shareholders
  • All the affairs of the company are correctly wound up
  • All creditors are paid in full
  • Shareholders can benefit from Entrepreneurs Relief

    Ring the Freephone Helpline now on 0800 012 6649

    In order to gain access to the money held in your company in a tax efficient manner it is necessary for the company to be put into members voluntary liquidation (MVL). This is because only a liquidator can distribute the funds as capital rather than income and capital receipts tend to be taxed at a more favourable rate than income. So long as the shareholders qualify for Entrepreneur’s Relief this tax rate is currently 10%.

    Lines Henry are Licensed Insolvency Practitioners and we offer:-

    • Quick access to your funds – 95% of the money due to you can normally be paid out within one working day of us receiving cleared funds.
    • Internet Fixed Price from £1,995 plus disbursements and VAT*. We always provide a written quote.
    • Face to Face Meeting if required from £2,495 plus disbursements and VAT*. We find that many clients want to physically meet someone from the company they are sending their money to. We understand this and will meet you at a place of your choosing.

    Lines Henry Limited are members of the Insolvency Practitioners Association and comply with their Code of Ethics. We are also members of the Association of Business Recovery Professionals

    We find that MVLs are suitable where funds held exceed £50,000 and you have used up all relevant allowances such as pension payments. If the funds held are below £25,000 the company’s accountant may be able to deal with the winding up of the affairs of the company and still give the money held to shareholders as a capital receipt. If the money retained is between £25,000 and £50,000 careful consideration has to be given to how the money is distributed to ensure that any tax saved is not less than the costs of winding up.

    We recommend that you talk to your accountant or tax adviser first. Whoever deals with your personal tax affairs needs to be involved as ultimately you need advice on the rules about Entrepreneur’s Relief.

    For further information telephone Lines Henry on free phone 0800 012 6649

    (*if VAT registered this is usually reclaimable)

    What our clients think

    I have known Neil Henry of Lines Henry for many years and have referred a number of clients to him for insolvency advice and the feedback has been excellent. An expert in his field with a compassionate attitude to the client’s plight

    Frank Ottavianelli, Collings Solicitors
    I have had to refer several of my clients to Mike Simister over the years. I do this  confident that the advice he gives is based on what is best for the client and is given regardless of whether it results in any further work for his firm. Clients report feeling well cared for throughout what for most is a traumatic experience.

    Peter Hollis, Chartered Accountant, Hollis and Co Limited
    I have worked closely with Lines Henry for many years. I have always found them to be consummate professionals in undertaking their statutory duties whilst at the same time offering sound, practical and compassionate advice to those of my clients who find themselves in financial difficulties.

    Tim Foreman, Foreman & Co. Solicitors
    Your advice and approach to business issues is both technically spot on and laced with tons of practical, down to earth, commercial realism And at good prices and prompt service

    John Traynor & Co Ltd