Phoenix Company Advice in Lancashire

At Fast Insolvency, we provide clear, compliant guidance on forming a phoenix company in Lancashire, a new business that rises from the closure of an insolvent company.

This route allows directors to start fresh, retain viable parts of the old business, and protect jobs, but strict rules apply under UK insolvency law in Lancashire.

We protect directors from liability while helping you start fresh with a viable new business in Lancashire.

Contact us today in Lancashire for free advice on phoenix company formation and to avoid the legal risks of getting it wrong.

What Is a Phoenix Company in Lancashire?

A phoenix company is a new business that is formed after an insolvent company has been liquidated in Lancashire.

It often has the same directors, staff, and assets, but operates as a legally separate entity with a different name or structure in Lancashire.

Is It Legal to Start a Phoenix Company in Lancashire?

Yes, forming a phoenix company is legal in the UK in Lancashire, as long as it follows the rules under the Insolvency Act 1986.

The process must be transparent, and directors must not trade while insolvent or breach restrictions on using the old company name in Lancashire.

What Are the Legal Restrictions in Lancashire?

Under Section 216 of the Insolvency Act 1986 in Lancashire, directors of an insolvent company are prohibited from reusing the same or similar name for 5 years, unless they follow strict exemption procedures.

Breaching this rule can result in personal liability in Lancashire for the new company’s debts and even criminal penalties.

How Can I Reuse the Company Name Legally in Lancashire?

You can apply for a Section 216 exemption in Lancashire if:

• You buy the old company’s assets from a licensed insolvency practitioner in Lancashire

• You notify all creditors and file the correct forms with the court and Companies House within 28 days in Lancashire

We can handle this entire process for you to ensure compliance in Lancashire.

Can I Keep My Staff and Clients in Lancashire?

A phoenix company in Lancashire can often retain key contracts, client relationships, and employees from the old business.

Transferring staff must follow TUPE regulations in Lancashire to protect employment rights.

Will Creditors Be Notified in Lancashire?

All creditors of the liquidated company must be notified if the new company is using a similar name or operating in a similar way in Lancashire.

This ensures transparency and protects creditors from deception in Lancashire.

Can I Buy the Assets from the Old Company in Lancashire?

The assets in Lancashire including stock, equipment, or intellectual property, can be sold to the new company at fair market value by the liquidator.

You cannot transfer assets privately or below market value in Lancashire.

What Are the Risks of Forming a Phoenix Company in Lancashire?

If the rules are not followed correctly, you could be held personally liable for new company debts or be disqualified as a director in Lancashire.

There may also be reputational damage in Lancashire if the new company appears to evade the old one’s obligations.

What Is the Process for Creating a Phoenix Company in Lancashire?

The typical process in Lancashire includes:

1. Entering a formal liquidation (CVL) in Lancashire

2. Valuing and selling the old company’s assets in Lancashire

3. Setting up a new company in Lancashire

4. Transferring staff and operations in Lancashire

5. Filing all legal notices and exemption forms under Section 216 in Lancashire

We manage this process end-to-end to ensure full compliance in Lancashire.

Does HMRC Allow Phoenix Companies in Lancashire?

HMRC permits in Lancashire the formation of phoenix companies, but they monitor closely for misuse.

You must remain fully compliant in Lancashire with tax obligations in the new business.

Can I Form a Phoenix Company After Compulsory Liquidation in Lancashire?

If your company was forcibly wound up in Lancashire through compulsory liquidation, you must still follow the same name reuse restrictions and apply for court permission.

In some cases, HMRC or other creditors may object in Lancashire.

What If I Want to Use a Completely New Name in Lancashire?

If the new company name is not the same or similar in Lancashire, Section 216 restrictions do not apply.

However, you still need to ensure that no misleading links exist in Lancashire between the old and new businesses.

How Much Does It Cost to Set Up a Phoenix Company in Lancashire?

A CVL in Lancashire costs from £3,000–£5,000 in Lancashire, plus legal fees for name reuse applications if needed.

The cost in Lancashire depends on whether you’re purchasing assets and the complexity of the liquidation.

We offer fixed-fee packages in Lancashire that include full phoenix company advice and compliance.

Get Expert Phoenix Company Advice Today in Lancashire

If you're closing an insolvent company in Lancashire and want to continue trading, legal guidance is essential.

We offer low-cost, legally compliant phoenix company services in Lancashire with expert oversight.

Contact Fast Insolvency now for free, confidential advice on forming a phoenix company safely and lawfully in Lancashire.

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