If you are a creditor, it’s wise to check if another creditor has already issued a winding-up petition against a company. This allows you to “piggyback” on their petition, saving you the costly legal process.
If you are a director worried that your own business has been served with a petition, the information below still applies, but you should seek urgent professional advice immediately, as early action saves costs in the long run.
What is a Winding-Up Petition?
A winding-up petition is often seen as the last resort for creditors. It is an expensive legal option that has serious consequences for the company. It occurs when an unpaid creditor petitions the court to have the debtor company wound up.
An overview of the process
- The creditor submits the winding-up petition to the court.
- The court then serves notice on the debtor company.
- The petition is advertised in The Gazette (usually at least 7 days after service).
- The court hears the petition and either dismisses or approves its completion.
- If approved, it is escalated into a winding-up order, and the process for compulsory liquidation begins.
4 Ways to Search for a Winding-Up Petition
If you are trying to find out if a petition has been issued against a company, here are the most effective ways to check:
- Call the Central Registry or District Registries This is often the fastest way to find a petition before it is publicly advertised.You can call the Central Registry of Winding Up Petitions on 020 7947 7301. If the company is based outside of London, you should also check with the relevant regional District Registry: Birmingham: 0121 681 4441 Manchester: 0161 240 500 Leeds: 0113 306 2800 Newcastle: 0191 201 2000
- Search in The Gazette The London Gazette acts as the official public record for the British Government. It publishes petitions in England and Wales as part of the legal process. You can search their records online to see if a notice has been published, though keep in mind there is often a delay between a petition being issued and it appearing here.
- Visit the Companies Court You can visit the Companies Court (Rolls Building) in London. The court provides public terminals where you can search the electronic filing system for records of all winding-up petitions. This is a vital step to complete before issuing a petition yourself to ensure no prior actions exist.
- Ask Your Lawyer or Subscribe Legal professionals often subscribe to proprietary databases that track new petitions in real-time. While these services are often too expensive for small businesses, some credit rating agencies, such as Creditsafe, also include this data within their credit reports.
Final Advice
A winding-up petition is the beginning of a very serious process. Whether you are looking to join an existing action or fear your company may be subject to one, seek expert advice straight away.
