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Managed Service Company trying to charge me for Ltd closure unlawfully!!

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    Managed Service Company trying to charge me for Ltd closure unlawfully!!

    I won't put the name of the company, but I was paying a fixed weekly fee since January for processing and accountancy services (a full package), to which they also setup the company for me and act as the company secretary.

    Due to the new legislation I decided to register a new limited company on 3rd April and take things into my own hands and do my own accounts.

    The company I was with have sent me the following email tonight:-

    "Dear Contractor,


    As a result of the unexpected legislative changes in the 2007 budget you have taken the decision to cease to use our services. This is despite our ability to offer either a competitive Umbrella service allowing you to recover legitimate business expenses and access to our highly regarding invoicing, payment and administration service or as an alternative for those contractors genuinely in business on their own account the use of a long established Accounting Practice providing you with a highly skilled and cost-effective High Street accounting and taxation service.


    Clearly we will have a legacy of work to perform on your behalf in dealing with the termination of our services brought about by unexpected and unwarranted legislation. To this end we will have to levy a charge estimated at £500 plus VAT to finalise your affairs. Although we would rather you continue to use our services we trust you will understand the necessity of this charge. This same charge will apply whether you transfer to another accountant or ask us to close the company for you.


    Please confirm in writing what action you wish us to take or whether you wish to retain our services in which case there will be no termination charge.


    Regards"


    Having looked in the terms and conditions I signed up for, it states that I can give 7 days notice for whatever reason, and that they would then buy the single 1 share from me at £0.01p. The details terms and conditions also state that administration and closure charges will be met from monies earned on interest on funds temporarily held pending payment of taxes, plus any sums earned for electronically filing information with authorities and any differences in respect of taxes. If there is a shortfall this ***** will absorb the cost and no further charges will be made by ******. No such excess will be payable subsequent to a cessation of trading by the Company.

    There are further terms and conditions stating the services which will be provided (effectively all accountacy, returns etc) as part of the service.

    Can I assume that this is enough to turn up in court with (should it go that way) and win my case?
    The cycle of life: born > learn > work > learn > dead.

    #2
    Your the director.

    Fire them as secretary and wind it up yourself.

    Comment


      #3
      OUTRAGEOUS

      Comment


        #4
        That's disgusting

        I'm not sure what they mean by saying there's a lot of work involved in transferring to another accountants. I don't believe they have to do anything - if you speak to some of the people on here who provide accountancy services, then most will do this job for you.

        As in the previous post, you're the director - just fire them!

        Comment


          #5
          That's disgraceful.

          Name and shame!

          They are clearly in breach of contract and trying to coerce you into staying with them.

          Tell them to f*** off, they don't have a leg to stand on if it goes to court.

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            #6
            please name and shame as contractors need to be aware of companies such as these
            We ned to avoid using companies such as these

            Comment


              #7
              Originally posted by Bigbird
              That's disgraceful.

              Name and shame!

              They are clearly in breach of contract and trying to coerce you into staying with them.

              Tell them to f*** off, they don't have a leg to stand on if it goes to court.

              Name and shame!!!!
              l l l http://www.thewantedfans.com

              Comment


                #8
                for legal reasons it's probably best I don't name them at this stage, but once the matter is settled I'll let you all know the outcome and who it is.

                I don't think they have a leg to stand on, their t&c's of the contract basically screw them over, the question is whether they want to start causing trouble about the situation.
                The cycle of life: born > learn > work > learn > dead.

                Comment

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