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What Is The Procedure For Members Voluntary Liquidation?

The process of winding up a solvent business is known as Members Voluntary Liquidation. In this process, the shareholders of a company choose a liquidator for carrying out the liquidation procedure. A Members Voluntary Liquidation, commonly known as MVL is different from a solvency procedure, and that is why a statutory declaration is required for the liquidation. This declaration has to be approved by the board of directors.

How Long Does A Member’s Voluntary Liquidation Take?

Under the Insolvency Act of 1968, one of the liquidation processes that have emerged out in the open is the Members’ Voluntary Liquidation. It signifies the steps for the liquidation of those companies that are solvent, or in other words still have the ability to pay off their debts.