The quick answer
If your limited company is wound up by the Court or you are made bankrupt then you will lose control of your assets and your business. A liquidator or trustee in bankruptcy will be appointed to sell the assets and close the business. In both cases, this person will be a Licensed Insolvency Practitioner like us.
If you think you can pay the debts or there is a better outcome you should try and avoid bankruptcy or a winding up.
In more detail
A Winding Up Petition is a notice from a creditor asking the Court for a hearing time and date to decide your limited company’s fate and whether or not it will be forced into liquidation for non-payment of debt. A bankruptcy order applies to an individual rather than a limited company.
You will only be wound up or made bankrupt after a Court hearing that you can attend and argue your case. If in doubt, I would suggest you hire a good solicitor or your own insolvency practitioner to attend the hearing. It may be that you decide to let the hearing happen.
Once wound up or bankrupt you will lose all control of your business. You will also have a legal duty to co-operate with your liquidator or trustee free of charge under section 235, 236 and 336 of the Insolvency Act 1986.