Dissolutions
If the Shareholders or Members decide the company needs to come to an end and dissolve, it must be done appropriately to limit any corporate and personal liability that may arise in the future. Often times, a company ends before it really even gets off the ground. In this situation you need to be sure that each and every creditor is paid, the internal paperwork is completed, file the appropriate paperwork with the state and wind up the business. Many answers to how to wind up the business can be found in your company's bylaws or operating agreement. You should look these over before acting.
On the other hand, if you have done any type of business or have any creditors more must be done to notify the creditors to limit the business' liability. Often times, claims can attach to a business up to 5 years after it has dissolved unless steps are taken to limit those claims. Other claims, such as criminal and some personal injury claims, may not be limited.
In either case, it is important to enlist the help of an attorney to limit the exposure to potential liability. Creditors should be notified, the bylaws must be followed, the appropriate votes must be documented, the paperwork must be filed with the state and the business needs to wind up.
Many business owners mistakenly believe that allowing a corporation or LLC lapse with the secretary of state will effectively dissolve the corporation and limit their liability. This is simply not the case. Allowing a company to lapse exposes the company, and its owners and officers, with possible personal liability. What if someone were injured on your property or from a product or service while you were in business? The injured party often has 2 or more years to file a claim which could arise after the business lapsed. If it was not properly wound up the exposure to liability is greater. This is just one of many situations that could arise and encourage every business to properly wind up the company.
Let AMC Legal properly dissolve your company with the state for $120 for Corporations, S Corps or Non Profits, $215 for LLCs. This price includes the filing with the Secretary of State and the appropriate documentation for the Shareholder vote as well as all filing fees and attorney fees. If you need to notify any creditors to limit the time they can make a claim, AMC Legal can provide one for you to send to creditors for $50.