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Business Dissolution How to legally Close a Business in any state |
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BUSINESS SERVICES |
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What is Business Dissolution? |
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A Corporation or Limited Liability Company (LLC) is created when the Secretary of State, or other state agency,
approves formation documents - usually called Articles of Incorporation for Corporations or Articles of Organization for LLCs.
A record of the Corporation or LLC is added to the list of Companies which have officially registered with
the state.
Once a Corporation or LLC is registered with the state, that Company immediately has both reporting and tax
obligations which incur penalties if the obligations are not met by the required deadlines.
If you've registered a Corporation or LLC with the Secretary of State, or other state agency, and want to cease Business activities you have to let the Secretary of State, or other state agency, know that you intend to close your company. Only after the Secretary of State, or other state agency, has made sure that all of the obligations of the Corporation or LLC have been fulfilled will the state legally approve of the closure of the company. When the Secretary of State, or other state agency approves the closing of a Corporation or LLC, that Corporation or LLC is said to be Dissolved. The process of Dissolving a Corporation or LLC is commonly called Business Dissolution. Business Dissolution is also referred to as Business Cancellation or Business Termination. Whatever it is called a Business that wants to legally cease Business Operations must legally close the Business with the state in which the Business was originally formed. |
Why do I need to legally Dissolve a Business? |
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As soon as a Corporation or LLC is registered with the Secretary of State, or other state agency, that Corporation or LLC is responsible for
recurring obligations of the Secretary of State and the Department of Revenue or Taxation.
If the Corporation or LLC does not file reports or pay taxes then that Company could be responsible for
penalties which go up as time goes by.
Unless you legally Dissolve your Corporation or LLC with the state that Corporation or LLC will be responsible for all recurring fees and penalties. |
What do I have to do to legally Dissolve a Business? |
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Corporation or LLC Dissolution is one part of a larger process commonly called the "Winding Up" process.
There are things you need to do before you can request approval of Corporation or LLC Dissolution from the state
and things that you have to do after the state has approved Dissolution of the Corporation or LLC.
What you have to do both before and after the Corporation or LLC is Dissolved largely depends on whether the Company has begun business and has any debts, assets or liabilities. |
What do I have to do before I Dissolve a Corporation or LLC? |
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Things you need to do before you can legally Dissolve a Business. 1. Hold a Meeting of Directors or Members and record a resolution to Dissolve the Corporation or LLC 2. For Corporations, hold a Shareholder meeting to approve Dissolution of the Business 3. File all required Annual or Biennial reports with the Secretary of State or other state agency 4. Clear up any Business debt 5. Pay your Business taxes 6. File Dissolution documents with the Secretary of State or other state agency The Dissolution requirements vary for each state. Choose your state from the list at the bottom of this screen for state specific information. more... |
What do I have to do after I Dissolve a Corporation or LLC? |
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Things you need to do before you can legally Dissolve a Business. 1. Distribute all remaining assets of the Business 2. Close all Business bank accounts of the Corporation or LLC 3. Cancel all local Business licenses and permits 4. File Form 966 with the IRS 5. Publish a Notice of Dissolution of the Company The Dissolution requirements vary for each state. Choose your state from the list at the bottom of this screen for state specific information. more... |
How long does it take to legally Dissolve a Business? |
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The time it takes to Dissolve a Corporation or LLC varies depending on how long it takes to complete the actions that are
required in each specific case - holding meetings, closing accounts, distributing assets, etc.
If a Corporation or LLC has not started doing Business or does not have any assets then the time it takes to Dissolve a Business is usually a lot shorter than the time it takes for Corporations or LLCs which already have started doing Business and retain assets. If delinquent taxes or annual report fees are due, this adds complexity, time and cost to the Dissolution process. In some cases it can be difficult to verify the exact amount required to fulfill any delinquent taxes and fees until the state calculates the total cost during their review process. Once the initial actions are completed the time it takes for the Secretary of State, or other state agency, to process a Business Dissolution filing varies depending on the specific state. Choose your state from the list below to get specific Business Dissolution timing information for that state. |
How much does it cost to Dissolve a Business? |
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The state wants to make sure they get their due.
They will not approve the Dissolution of a Corporation or LLC until all outstanding administrative fees have been paid to the state.
Some states also require a certificate of approval from the state taxation department stating that all taxes have been paid.
These issues can add time and more fees to the Business Dissolution process.
The fees usually go up in proporton to how long a Corporation or LLC has not been in good standing with the state.
The total cost to Dissolve a Corporation or LLC varies depending on exactly what is required for each specific Business Dissolution. We charge $249.00 plus any state fees for our Business Dissolution services. This includes:
We offer our Business Dissolution services bundled together or separately. |
| Business Dissolution fees vary from state to state and depend on the Business enity type - Corporation or LLC. Choose your state from the list below to get more Business Dissolution information for that state. |
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