Shanu Singh Guliani

You’re Closing Your Business: Who has to be Notified?
April 4, 2008

You’ve decided to close your business and go out with a bang by holding a largely advertised closing sale. Before any newspaper will allow you advertise such a notice you have to show proof that you are indeed closing your business.

If your company is a corporation, limited liability company (LLC), or partnership, in order to close the business you and your associates must jointly agree to the closure, following procedures set out in your organizational documents and/or the requirements of the business statutes of your state.

If you have been doing business as a corporation or LLC, you need to:

1. Complete the appropriate paperwork. Your state corporations or LLC unit — usually a division of the secretary of state — should be able to provide the necessary forms. These forms set out the disposition of your corporation’s debts and liabilities, the distribution of your business assets, and how you and your co-shareholders elected to dissolve your business. LLC’s have to file similar documents, sometimes called “articles of dissolution.”
2. Officially dissolve your entity so that you are no longer liable for business taxes or filings in your state.
3. Put creditors on notice that your entity can no longer incur business debts.

Posted by Shanu Singh Guliani on April 4, 2008 | Comments (0)