How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Thomas Your Own Question
Thomas, Lawyer
Category: UK Law
Satisfied Customers: 7609
Experience:  BA (Hons), PgDip, Practising Solicitor
Type Your UK Law Question Here...
Thomas is online now
A new question is answered every 9 seconds

I bought some shares in a PLC company a few years ago, the

This answer was rated:

I bought some shares in a PLC company a few years ago, the shares were not floated on the stock market and now the company is to go into liquidation. I realise I will lose the money I invested in the shares but am concerned that I may also be liable for any company debts. As I am now on benefits I would be unable to cover any debts. Do you know if I will be liable for any debts as a shareholder and would there be a chance that I may get some money back for the shares?



Thank you for your question.


If you are merely a shareholder in the company then only your shares at at risk. The assets of the company will be realised by the liquidator and used to pay in the following order:

1. Expense of Winding up

2. Preferential debts

3. Monies secured by floating charges

4. Unsecured creditors

5. Interest on preferential and unsecured debts


Any surplus will then be distributed by the liquidator amongst the shareholders (ie. you). You should contact the company and ask if they have appointed a liquidator (this may be an official receiver). They will keep you informed of the liquidation process, and whether it is likely you will receive any money..


If you cannot obtain information from the company as to liquidator then you can check the London Gazzette, business sections in national newspapers, or contact the nearest official receivers office:-


I hope this helps if so please kindly click accept so that I may be rewarded for my time. It will be gratefully received and you will be free to ask follow up questions.


Kind regards,





Thomas and 3 other UK Law Specialists are ready to help you