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The quick answer

The Official Receiver is a civil servant employed by the Insolvency Service who deals with compulsory liquidations and bankruptcies. A business liquidator is an individual working in the private sector and is a Licensed Insolvency Practitioner.

In more detail

When the directors want to liquidate a company they will need  a Licensed Insolvency Practitioner like us.  Often directors will want to use a private sector business liquidator instead of the Official Receiver. An Official Receiver is funded by the government and will often have unlimited time and resources to investigate a failed company.

A company will end up with the Official Receiver as liquidator if it is forced into liquidation by creditors – this is known as a compulsory liquidation. This is different from a creditor’s voluntary liquidation which means the directors have chosen a private sector liquidator.


More questions in this section

We have just worked with Kirks to complete the closure of our company. Everything went smoothly and professionally. I would recommend this firm and the staff who were very very helpful and quickly finalised everything. Thank you Kirks.
Carol Hill

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David Kirk

Licensed Insolvency Practitioner