Close a Business
Closing your Company
When your company is ready to close, or is no longer needed, IncSmart.biz can file the correct forms for you with the Secretary of State. There are many reasons to wind up your company dealings.
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Contract has been fulfulled
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Project has been completed
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Merger with another company
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Moved to another state
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Company not used
All companies registered with the Secretary of State are legal entities. They must be closed with the Secretary of State by legal filings. You can't email or call your registered agent and say your company is closed. You will actually have to file with your state. Until you do, your company remains liable for all taxes, assessments, fines, penalties and interest until you receive a notice of from the Secretary of State.
A Withdrawal is a foreign qualificaiton informing the state it no longer doing business and wishes to remove itself from the state and cease any taxation and reporting requirements. Some entities that withdrawal in the middle of the year may still be required by some State to file a final tax return with the State.
A Dissolution is when a company informs the state that it no longer wishes to be a legal entity and is winding up all business affairs within that State. This is important to stock holders and members. When you stop paying the state fees without closing your company with the state, the state laws will no longer protect you and stock holders and members can be held personally responsible for the lawsuit, along with any other debts the company owes.
Main steps to shut your business down legally and minimize the risk to your personal assets.
- Vote to close the business
- Dissolve your business with the government
- Cancel permits, licenses, and fictitious business names
- Pay your taxes and debts
- Notify your creditors, employees, and customers
