Phoenix Company Advice in Leicestershire

At Fast Insolvency, we provide clear, compliant guidance on forming a phoenix company in Leicestershire, 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 Leicestershire.

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

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

What Is a Phoenix Company in Leicestershire?

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

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

Is It Legal to Start a Phoenix Company in Leicestershire?

Yes, forming a phoenix company is legal in the UK in Leicestershire, 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 Leicestershire.

What Are the Legal Restrictions in Leicestershire?

Under Section 216 of the Insolvency Act 1986 in Leicestershire, 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 Leicestershire for the new company’s debts and even criminal penalties.

How Can I Reuse the Company Name Legally in Leicestershire?

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

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

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

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

Can I Keep My Staff and Clients in Leicestershire?

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

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

Will Creditors Be Notified in Leicestershire?

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 Leicestershire.

This ensures transparency and protects creditors from deception in Leicestershire.

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

The assets in Leicestershire 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 Leicestershire.

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

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

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

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

The typical process in Leicestershire includes:

1. Entering a formal liquidation (CVL) in Leicestershire

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

3. Setting up a new company in Leicestershire

4. Transferring staff and operations in Leicestershire

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

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

Does HMRC Allow Phoenix Companies in Leicestershire?

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

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

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

If your company was forcibly wound up in Leicestershire 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 Leicestershire.

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

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

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

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

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

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

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

Get Expert Phoenix Company Advice Today in Leicestershire

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

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

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

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