Business owners may want to strike off the company for a wide variety of reasons. However, there is a set procedure that needs to be followed while closing of company. When the company fails to commence its business within one year of incorporation or the company is not carrying on any business or operation for a period of two immediately preceding financial years and has not made any application within such period for obtaining the status of a dormant company, may after extinguishing all its liabilities apply for striking off the name of the Company from the register subject to consent of seventy-five percent members in terms of paid up share capital through special resolution.
Closure of the company may become necessary since not doing so will force you to adhere to all the compliances even though you may not have a functional company in place. So, if you fall under any of the allowed criteria to file for strike off of private company, you can avail our easy and affordable packages.
The Companies Act provides a convenient and easy way to close Company and avoid the requirement to wait for closure window.
closing of company will ensure you save financial resources otherwise utilized on filing, audits, etc.
Even if your company is not operational, you will have to adhere to the compliance and face penalties on failure to do so. closure of the company will free you from such compliances.
Arrange to provide the documents as per the checklist shared.
Close the bank account if available and arrange to provide closure certificate.
Get NIL statement of accounts from Chartered Accountant and prepare documents as required to be attached for filing.
Filing of Form MGT-14 & STK 2 with the Registrar of Companies within 30 days from the date of passing a special resolution for the closure of private limited company.
No, under Companies Act there is no time limit for making an application under STK 2 for the closing of company.
Having satisfied the prerequisites of making an application for the closure of a private limited company, any active or dormant company except listed Companies and the companies registered under section 8 of the Companies Act, 2013 can apply for the closure of the company through form STK-2.
Yes, the relevant Form for strike off is required to be filed within 30 days from the date of passing a special resolution.
At StartupSeven, our advice to our clients is always to follow the law to the dot. So, it is recommended and even mandatory to file all the pending ROC returns and discharge all the duties before making an application for closing down the company in form STK-2
If all the directors of the company have been disqualified, an EGM can be called to appoint a new director and the application shall be made to the ROC with respect to such appointment.
Yes, the digital signature of at least one director will be required as the application needs be filed in the electronic format.
A company can be closed if 75% of shareholders are in favour of the decision. However, a company cannot be closed by filing the standard STK-2 if the dissenting person has more than 25% stake in the company. Under such a condition, an application may have to be filed before NCLT under IBC 2016.
When a company is struck-off, it is no longer allowed to trade or sell assets, and conduct any business activity.
The Total cost of closing a Pvt Ltd Company comprises of Govt Fees, Stamp duty and Professional Fees. Please connect with the team for bufurcation
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