Phoenix Company Advice in Northumberland
Get in touchAt Fast Insolvency, we provide clear, compliant guidance on forming a phoenix company in Northumberland, 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 Northumberland.
We protect directors from liability while helping you start fresh with a viable new business in Northumberland.
Contact us today in Northumberland for free advice on phoenix company formation and to avoid the legal risks of getting it wrong.
What Is a Phoenix Company in Northumberland?
A phoenix company is a new business that is formed after an insolvent company has been liquidated in Northumberland.
It often has the same directors, staff, and assets, but operates as a legally separate entity with a different name or structure in Northumberland.
Is It Legal to Start a Phoenix Company in Northumberland?
Yes, forming a phoenix company is legal in the UK in Northumberland, 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 Northumberland.
What Are the Legal Restrictions in Northumberland?
Under Section 216 of the Insolvency Act 1986 in Northumberland, 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 Northumberland for the new company’s debts and even criminal penalties.
How Can I Reuse the Company Name Legally in Northumberland?
You can apply for a Section 216 exemption in Northumberland if:
You buy the old company’s assets from a licensed insolvency practitioner in Northumberland
You notify all creditors and file the correct forms with the court and Companies House within 28 days in Northumberland
We can handle this entire process for you to ensure compliance in Northumberland.
Can I Keep My Staff and Clients in Northumberland?
A phoenix company in Northumberland can often retain key contracts, client relationships, and employees from the old business.
Transferring staff must follow TUPE regulations in Northumberland to protect employment rights.
Will Creditors Be Notified in Northumberland?
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 Northumberland.
This ensures transparency and protects creditors from deception in Northumberland.
Can I Buy the Assets from the Old Company in Northumberland?
The assets in Northumberland 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 Northumberland.
What Are the Risks of Forming a Phoenix Company in Northumberland?
If the rules are not followed correctly, you could be held personally liable for new company debts or be disqualified as a director in Northumberland.
There may also be reputational damage in Northumberland if the new company appears to evade the old one’s obligations.
What Is the Process for Creating a Phoenix Company in Northumberland?
The typical process in Northumberland includes:
Entering a formal liquidation (CVL) in Northumberland
Valuing and selling the old company’s assets in Northumberland
Setting up a new company in Northumberland
Transferring staff and operations in Northumberland
Filing all legal notices and exemption forms under Section 216 in Northumberland
We manage this process end-to-end to ensure full compliance in Northumberland.
Does HMRC Allow Phoenix Companies in Northumberland?
HMRC permits in Northumberland the formation of phoenix companies, but they monitor closely for misuse.
You must remain fully compliant in Northumberland with tax obligations in the new business.
Can I Form a Phoenix Company After Compulsory Liquidation in Northumberland?
If your company was forcibly wound up in Northumberland 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 Northumberland.
What If I Want to Use a Completely New Name in Northumberland?
If the new company name is not the same or similar in Northumberland, Section 216 restrictions do not apply.
However, you still need to ensure that no misleading links exist in Northumberland between the old and new businesses.
How Much Does It Cost to Set Up a Phoenix Company in Northumberland?
A CVL in Northumberland costs from £3,000–£5,000 in Northumberland, plus legal fees for name reuse applications if needed.
The cost in Northumberland depends on whether you’re purchasing assets and the complexity of the liquidation.
We offer fixed-fee packages in Northumberland that include full phoenix company advice and compliance.
Get Expert Phoenix Company Advice Today in Northumberland
If you're closing an insolvent company in Northumberland and want to continue trading, legal guidance is essential.
We offer low-cost, legally compliant phoenix company services in Northumberland with expert oversight.
Contact Fast Insolvency now for free, confidential advice on forming a phoenix company safely and lawfully in Northumberland.
We cover Northumberland