Articles

There are various ways to close down a limited company, but which one is most appropriate will depend on the business’ financial position.

When a limited company is forcibly struck off, it is removed from the register at Companies House and ceases to exist as a business entity.

If your business is in decline and you need to make staff redundant, as a director you have an obligation to ensure they receive their full redundancy entitlement once their employment is terminated.

If your business is struggling and can’t pay its creditors, you may be concerned that your personal finances are also in danger.

If your company is experiencing serious financial difficulty, it’s possible that a creditor could attempt to place it into liquidation.

If your company owes £750 or more and has received a 21-day statutory demand, one or more of your creditors can issue a winding-up petition with a view to closing down your business.