This is such a common question that we have set up a new web page to answer it.
It is usually because the company has no assets left of course, but click the link to visit this page for the answer.
There is another favourite question - "Will I be disqualified as a director if we liquidate the company"? "No" is the general answer if they have acted properly.
Obviously, if a director has acted wrongfully (click the link to our wrongful trading guide) then he or she may be at much greater risk of personal liability or even disqualification,