chapter  7
When does a creditors’ winding up take place?
WithNicholas Comyn
Pages 8

The term ‘voluntary winding up’ includes both a members’ and a creditors’ winding up (see Chapter 6). In each case, s 253 CA 1963 provides that ‘a voluntary winding up’ shall be deemed to commence at the time of the passing of the resolution for voluntary winding up (that is, the members’ resolution). Section 266 CA 1963 sets out the steps to be taken to wind up as a creditors’ voluntary winding up and provides for a statutory period (of 10 days) before the creditors’ meeting can be called and during that period, often longer, the directors are faced with commercial problems, some of which are highlighted here.