Once the board meeting has been held and it has been decided to place the company in liquidation, trading should cease unless it has been agreed with the proposed liquidator that trading should continue to enable the better realisation of the company’s assets.
Any deliveries of stock received after the board meeting should be held separately to one side until the appointment of a liquidator. In most circumstances monies received from book debts should be forwarded to the proposed liquidator to be held on trust until a liquidator is formally appointed. You will be advised if this is necessary. No further payments should be made to creditors.