Some companies, especially those in the science and technology sectors, do not make it to the next stage. It is important for those supporting the company and its directors that the company is dissolved in a solvent manner in order to protect reputations and integrity.
If you are looking at a solvent closure of your limited company, we can guide you through all of the steps involved and put your mind at ease.
What we do:
- Review your governing documents to identify restrictions and special consents
- Prepare and circulate resolutions
- Obtain relevant consents
- Communicate with shareholders and interested parties
- Establish details of outstanding loans
- Establish details of existing IP and its treatment in accordance with your governing documents
- Extend insurance policies
- Companies House filings
- Objections monitoring
- Bank account closure and distribution of funds
- PAYE scheme closure
- Cancellation of contracts
- Liaise with your accountants in relation to VAT de-registration, corporate tax filings and accounts
We will do all this whilst ensuring that you:
- Maintain your integrity as a director
- Comply with the relevant legislation
Why use Haddletons:
Our experience of company closures means that we are the right people to look after your solvent closure in a sensitive manner. We make the process simple and straightforward, meaning you can move on to your next venture!
For insolvent company closures we can introduce you to a licensed Insolvency Practitioner.
The Haddletons Way
We earn your trust through our authenticity. We listen, we communicate honestly, we genuinely care.
We are people just like you. Get to know us and you will find that we can do more than just resolve your problems and lighten your load.
We look at the world through your eyes to offer a truly bespoke service. The more we understand you and your world, the more we can do for you.
We offer a premium service with price certainty. Our insight and expertise applied to your needs.
Frequently Asked Questions
A solvent company can pay all its liabilities when they fall due. A company that is insolvent cannot meet its liabilities as they fall due or the balance sheet is negative meaning that the liabilities outweigh the assets. The processes to close them differ. It is easier to close a solvent company as nobody will be left out of pocket. The processes are more complicated for insolvent companies because creditors are impacted. A licensed Insolvency Practitioner is required to deal with insolvent companies.
Not yet. You can close down your limited company by getting it ‘struck off’ the Companies Register, but only if it:
- hasn’t traded or sold off any stock in the last 3 months
- hasn’t changed names in the last 3 months
- isn’t threatened with liquidation
- has no agreements with creditors, eg a Company Voluntary Arrangement (CVA)
You don’t have to close your company if it’s no longer trading. You can let it become ‘dormant’ for tax as long as it’s not:
- carrying on business activity
- receiving income
Your company will still be registered at Companies House.
When you liquidate a company, its assets are used to pay off its debts. Any money left goes to shareholders. If that money has not been shared between the shareholders by the time the company is removed from the register, it will go to the state.
Closing down your solvent company is not complicated if you know what you are doing. However, the process can take time.
The easiest way to dissolve a limited company is to complete a ‘Striking-off’ application for Companies House.
Within 7 days of submitting the striking-off application, copies should be provided to all notifiable parties, including:
- company shareholders
- pension managers or trustees
- other directors of the company
- any person who becomes a notifiable party within 7 days of the application being made