There are many who would like to dissolve a company after they have completed their business goals, or who do not want to use a company anymore for some reason. Setting up companies seems to be simple, but when you dissolve them, you need to fulfil all your duties with the jurisdiction your company is based in.
Depending on the jurisdiction, normally with IBC/BC model, the company requires internal resolution and to inform the government of the dissolution.
However, in regard to the jurisdictions requiring a tax declaration, such as Hong Kong, Singapore, US or UK, the procedure is much more complicated. If the company has not incurred any transactions since formation, they can proceed to dissolve without a tax declaration. If the company had transactions, accounting and auditing are required before the dissolution. They need to deactivate their bank account as well, then submit documents and related resolutions to the local authority.
We can apply to get your company restored if it was struck off the register and dissolved by the Companies Registrar.
Our experience ensures you stay ahead of legal requirements that can impact your company. You can apply for a company restoration if you were a director or shareholder of the company.
A proper company shut-down process will give your creditors and customers clear notice of your business’s closure, an important step towards limiting the amount of time you may be subjected to lawsuits.
The directors make a declaration of solvency, in the approved form, which confirms that, in their opinion, the company is and will continue to be able to discharge, pay or provide for its debts as they fall due, and the value of the company’s assets equals or exceeds its liabilities.
The directors should prepare a liquidation plan for approval, specifying the following.
Once the liquidation plan has been approved by a resolution of the directors, it must then be authorised by a resolution of the shareholders. It is required that the liquidation plan is sent to all shareholders, regardless of whether such resolution is to be passed at a general meeting or in writing.
After being formally appointed, the liquidator has strict time frames to undertake the liquidation process and file the following documents with the Registry of Corporate Affairs.
The time frame for completion is from 4 weeks to 4 months, depending on your company’s jurisdiction.
For a company incorporated in Hong Kong, Singapore, UK or the US, if you do business locally you have to file tax reports and audit-related documents, as well as closing all bank account in the local country, before step 4.
Other Jurisdictions: time frame and fee depend on each jurisdiction.
|United Kingdom||2-3 months||US$ 350|
|Hong Kong||5-6 months||US$ 499 + Other fee (If applicable). Note: The company must be in good standing in order to proceed with the liquidation.|
|Seychelles||2 months||US$ 1,600|
|St. Vincent – Grenadines||2-3 weeks||US$ 850|
|Belize||2 months||US$ 1,600|
|Anguilla||6-9 weeks||US$ 1,950 Note: The company must be in good standing in order to proceed with the liquidation.|
|Delaware||2-3 weeks||US$ 800|
|British Virgin Islands||6 weeks||US$ 1,600 Note: The company must be in good standing in order to proceed with the liquidation.|
|Vanuatu||3-4 months||US$ 898|
|Panama||2 months||US$ 1,200|
(From the Closing date of the Company)
|Seychelles||Under 6 months||US$ 850|
|Over 6 months||US$ 1,150|
|St.Vincent||Under 6 months||US$ 930|
|Marshall Islands||Under 6 months||US$ 1,025|
|Belize||Under 6 months||US$ 1,150|
|Over 6 months||US$ 1,650|
|Anguilla||Under 6 months||US$ 825|
|Over 6 months||US$ 1,125|