Voluntary liquidation rather than automatic dissolution
If the company has no future, closing it yourself is often cleaner than letting it be dissolved automatically. Here are the principle, the steps and the limits.
The difference with PDAL
PDAL dissolves the company automatically, with no liquidator. A voluntary liquidation is decided by the shareholders. A liquidator is appointed, settles the assets and liabilities, then the company is closed and struck off.
The steps, in general
The detail depends on the company's form and articles. The usual pattern is:
- The shareholders decide the dissolution and appoint a liquidator, often before a notary depending on the form.
- The decision is published at the register.
- The liquidator settles the debts and realises the assets.
- The liquidation accounts are prepared and approved, then the closure is decided.
- The closure is published and the company is struck off.
When it is a good option
- No activity or project left.
- Simple assets and few debts.
- A company that is still in order or easy to bring back into order.
- You want to avoid an automatic dissolution and its consequences for officers.
The limits
If a PDAL is already open, the way forward is decided with a lawyer: the appeal period is running, and a voluntary liquidation does not always add to a procedure in progress. Some companies also have debts or disputes that call for another route. See the guide PDAL, liquidation or bankruptcy.
Our role
We are neither a liquidator nor a lawyer. We organise the file and introduce the notary, lawyer, accountant or liquidator you need.
Frequently asked questions
Is a voluntary liquidation slower?
It takes longer than an automatic dissolution, because the assets and liabilities must be settled and the liquidation accounts prepared.
Can you liquidate a company with no office or officer?
They must be put back in place first, because the decision has to be taken and published by bodies in office.
Who can be the liquidator?
In principle the shareholders choose, within the articles. A lawyer or fiduciary can be proposed.
Let's talk about your company.
Describe your situation. We reply with a first view of the way forward.