Clay&AssociatesAdvocates

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Analysis and commentary on Kenyan law as it is practised: corporate, IP, regulatory, disputes and the industries we serve. Written by the advocates who do the work.

Creditor priority Kenya, colleagues discussing liquidation order
Corporate & Commercial

What Happens to Employees and Creditors When a Kenyan Company Is Wound Up?

Secured creditors first, then liquidation costs, then preferential claims including employee wages, then floating charge holders, then everyone else. Here's the actual order.

September 21, 2026
Company voluntary arrangements Kenya, business handshake agreementCorporate & CommercialCan My Company Restructure Its Debt Without Going Into Liquidation? Company Voluntary Arrangements ExplainedA Company Voluntary Arrangement lets a company restructure what it owes and keep trading, without going into liquidation.…21 Sep 2026Director liability Kenya, businessman considering insolvencyCorporate & CommercialCan Directors Be Personally Liable When a Kenyan Company Becomes Insolvent?Insolvency alone doesn't make a director personally liable. Wrongful trading, fraud, and personal guarantees do, and acting early…21 Sep 2026Options before liquidation Kenya business meetingCorporate & CommercialMy Company Can’t Pay Its Debts: What Are the Options Before Liquidation?Liquidation isn't the only option once debts can't be paid on time. Administration, company voluntary arrangements, and receivership…21 Sep 2026Branch or subsidiary Kenya office buildingFinancial ServicesBranch or Subsidiary? How Kenya Taxes a Foreign Investor’s Kenyan Operation DifferentlyKenya taxes a branch and a subsidiary differently enough to affect your group's effective rate. Here's the actual…21 Sep 2026Calculating transfer pricing Kenya documentationFinancial ServicesDoes Kenya’s Transfer Pricing Regime Apply to My Foreign-Owned Subsidiary?There's no small-company exemption from Kenya's transfer pricing rules. Here's what actually applies, what documentation you need on…21 Sep 2026Signing a tax treaty with Kenya documentFinancial ServicesDoes Your Country Have a Tax Treaty With Kenya? What’s In Force, What’s Signed but Not Operative, and What’s Still Under NegotiationA signed tax treaty isn't the same as one that's in force, and an in-force treaty isn't the…21 Sep 2026A serious businesswoman looking at her laptopRegulatory & ComplianceYour Former Employee Is Posting Damaging Claims About Your Company Online. What Are Your Options?A former employee airing grievances online after leaving is common enough that most companies eventually deal with it.…19 Sep 2026A concerned businessman on the phone checking his watchRegulatory & ComplianceA Damaging Story About Your Company Is About to Run. What Can You Actually Do in the Next 24 Hours?A journalist calls, describes what they intend to publish about your company, and gives you until the end…19 Sep 2026 Talk to usNot sure where to start?Tell us what you need and we will point you to the right person.Get in touch