Ending a company properly.
WHAT THE OPTIONS ARE
Voluntary striking off, where eligible Members' voluntary winding up, where solvent Creditors' voluntary winding up, where insolvent Winding up by the court
WHAT STRIKING OFF SUITS
Dormant companies with no assets or liabilities.
WHAT IT REQUIRES
Eligibility per the rules An application Sometimes, publication
WHAT VOLUNTARY WINDING UP INVOLVES
A declaration of solvency, where applicable Appointment of a liquidator Realisation of assets Settlement of liabilities Distribution to members Final accounts and dissolution
WHAT TO DO BEFORE ANY OF IT
Settle outstanding filings and taxes.
WHY
Obligations do not disappear with inactivity.
WHAT TO ESTABLISH
Whether the company is solvent.
WHY THAT DETERMINES THE ROUTE
Insolvent companies follow a different process with duties toward creditors.
WHAT DIRECTORS SHOULD KNOW
That continuing to trade while insolvent carries personal exposure.
WHAT TO TAKE ADVICE ON
Any insolvency situation, immediately.
WHAT ABANDONING A COMPANY PRODUCES
Accumulating penalties Directors named on a defunct entity Difficulties in future registrations
WHAT TO DO INSTEAD
Close it properly.
WHAT TO KEEP
Records, for the period required after dissolution.
