Sometimes when we form a corporation or an LLC we have different expectations of what the LLC or corporation will provide us. Often times members or directors cannot come to agreements on how the company should be run or if the business fails to succeed, sometimes a dissolution of said LLC or corporation is necessary.
In order to dissolve a corporation or LLC, in most states, articles of dissolution are required to be filed with the state office you filed your articles of incorporation or organization. Filing fees are associated with submitting articles of dissolution. These fees vary from state to state. Also, in some states, the names of the dissolved companies may not be available for up to 5 years. One thing to keep in mind is that some states offer cancellations vs. dissolutions. California for instance does provide a cancellation if the company has been organized or incorporated for less than a year and has not conducted any business.
In many states, creditors and sometimes the public must be notified of an intent to dissolve. In order to dissolve an LLC or corporation you must be sure that all debts are paid to creditors as well as give notice to your debtors for all debts to be paid to the company by a certain date, the minimum number of days given is different for each state, be sure to research the law in your own state.
A dissolution should be looked upon as a final step. Sometimes dissolutions can be avoided if a member of an LLC or a director of a corporation wants to keep the business active, and all members/directors can come to an agreement for leaving the business, it’s possible to remove the members/directors that wish to be removed while keeping a company in tact. That being said, sometimes a dissolution is the only step left to take.
Need Help with a Dissolution?
At Incorporate Fast we know that it’s not only difficult and stressful to handle the start up of a company, but also the end of a company, our services for dissolutions are handled with the same great customer service you’ve come to expect from us in all other filings.
Please contact one of our representatives in order to get more information on dissolving your LLC or corporation.
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