Liquidating a company is not always an easy decision. Whether you have decided to close the business due to financial problems, a change in focus, or personal reasons, it is important that the process is done correctly and in accordance with the applicable laws.
The first step is to decide on liquidation. This decision must be approved by the general meeting of the company or the sole partner, if the company does not have multiple owners. Next, a liquidator must be appointed, who will be responsible for the entire liquidation process.
Step by Step:
Notice of liquidation: after deciding on liquidation, it is necessary to notify the trade office and the tax office of this step. At the same time, a proposal must be submitted for the registration of the liquidation in the commercial register.
Determining assets and liabilities: the liquidator is required to identify all the company’s assets and liabilities. In practice, this means they must account for all receivables, liabilities, and assets owned by the company. Based on this, a liquidation balance sheet is prepared.
Settling liabilities: if the company has debts, the liquidator must settle them. Priority is given to obligations to the state, such as taxes and contributions. After that, the liquidator will settle other liabilities.
Distribution of assets: after settling all liabilities, the remaining assets are distributed among the partners. If the company owns no assets or is in deficit, property rights expire.
Deletion from the commercial register: the final step is to submit a proposal for the deletion of the company from the commercial register. Once approved, the company is officially liquidated and its legal status is terminated.
Liquidating a company can take several months to years, depending on the complexity of the situation and the scope of assets and liabilities. It is important that the entire process is conducted legally and transparently to avoid issues with authorities. Don’t hesitate to contact us; our experts are at your disposal.