What is Liquidation?
Liquidation is the process of bringing a business to an end and distributing its assets to claimants. It typically occurs when a company is insolvent, meaning it cannot pay its debts as they come due. Liquidation is often seen as a last resort for companies, but it can be a necessary step to manage insolvency and settle debts.
There are two main types of liquidation – voluntary liquidation, for example, occurs when the company’s shareholders decide to close the business. This can be due to insolvency or simply because the shareholders want to close the business. Compulsory liquidation occurs when a court orders the liquidation, usually at the request of a creditor who has not been paid.
In order to pay off the business’ debts, the business’ assets need to be sold. This can include anything from furniture and equipment to the property itself, and can be a very labour- and time-intensive process.
The Liquidation Process – A Brief Overview
Beginning of Liquidation
Once the liquidation has been decided, a liquidator is appointed to oversee the process. In a voluntary liquidation, the company or its creditors will appoint one, whilst a court will appoint a liquidator in compulsory liquidation. The liquidator’s role is to collect all assets, sell them, and distribute the proceeds to creditors.
Gathering and Valuing Assets
This is where The Hotel Clearance Company comes in. We support hospitality businesses from hotels and bars to restaurants and cafés with the liquidation process by collecting, valuing and selling assets.
Anything and everything in a hospitality establishment can be collected and sold to help pay off the debts. As part of the furniture clearance service we will consult with you regarding your clearance requirements and put in place a detailed plan of action. Where many competitors will only be interested in the high value items, we take a different approach, offering a comprehensive and thorough professional clearance service.
Once your clearance requirements have been established, we will get straight to work removing and storing your hospitality furniture and assets, using our secure storage facilities which are monitored 24/7 by CCTV and anti-theft devices. This means you won’t have to wait for everything to be sold before you sell your property as it will be empty much sooner whilst we store your assets and handle the sales side of things.
Selling Assets
The process of selling your assets is another of our specialisms. If you don’t already have a foot in the door, it can be very challenging to effectively get your assets sold for the maximum financial return. We have strong partnerships with leading specialist auction houses, plus a ‘Little Black Book’ of qualified regular buyers who buy via private treaty sales.
High-value items like kitchen and catering equipment and bulk amounts of high quality furniture see the most success at asset liquidation auctions, but anything in your hospitality establishment (including the kitchen sink) can be sold. Furniture (beds, desks, chairs, and sofas), appliances (fridges, freezers, ovens, dishwashers), electronics (computers, printers, televisions), catering equipment (cutlery, commercial ovens, crockery), and linens (bed sheets, tablecloths, pillow cases) are some of the most common things we bring to auction. Anything from exercise equipment to artwork can be sold at a liquidation auction, ensuring you are able to get the best possible financial return from your assets.
Why Use a Professional Clearance Company for Liquidation?
Save time
There are a lot of moving parts involved with a hospitality business liquidation, and the process can be long and time-consuming. Whilst we can’t help with every single part of your liquidation, we can certainly speed up the process of asset removal and selling. By having us come in to review, remove and sell your assets, you can instantly tick it off your to-do list and concentrate on the other elements of liquidation.
Save money
Everything we do within our liquidation clearance service has to be done – there’s no getting around it. If you don’t opt for a comprehensive hotel clearance service, you’ll have to fork out for individual services from multiple contractors. This will include fees for removal, transport, and storage of your assets, and fees for putting your assets to auction.
Our existing connections to specialist auction houses and regular private treaty sales buyers means we’re able to get you the maximum financial return on your assets.
Discuss Your Liquidation Asset Clearance Today
If you’re looking to discuss your liquidation asset clearance requirements in more detail, get in touch with The Hotel Clearance Company. We’re here to help during a time where you need to keep things as simple and stress-free as possible. Our quick process allows you to get the maximum financial return on your assets as soon as possible, meaning you can pay off the debts of the business in good time.
Our expert team can be contacted by calling 020 8123 8241 or visit The Hotel Clearance Company and fill out our online contact form.