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Closing a company

Siri (Director) (73 Points)

22 September 2012

Our Company was incorporated in June this year.

Our business started in July. We are getting enough revenue.

But because of some inevitable reasons, we might need to close the company in March\April coming year.

What is the procedure to close the company.

What all needs to be taken care before closing the company?

Could some one please give me step by step procedure to close the company in our case.

Thanks

Siri

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5 Replies

deepali agarwal (Company Secretary) (1289 Points)
Replied 22 September 2012

Hello,

Closing a company is a very vast process.. I think u shud consult a CS for it..Becoz it is the work which cannot be completed at ur level...n one way u r talking abt having a board meeting n on the other way u r saying to wind up ur company???May i knw the whole problem????

Shridhi Jain (Company Secretary) (1678 Points)
Replied 22 September 2012

Hi Siri,

Closing the company will take your time and money as well.

And if the company is doing well then why to spend money in closing it !!

You may sell the company to someone else at some goodwill.

This way you can get rid of the company as well as earn money.

Siri (Director) (73 Points)
Replied 22 September 2012

hi Deepali

The amount of compliance needed for ROC/Other departments is a lot more than we initially thought would be.

2(out of 3) of our directors would need to travel abroad frequently for long periods and quorum may not be present physically for the meetings. Only 1 director would be left in India for board meetings.

We are afraid our company might turn noncompliant and we may have to bear extreme penalties.

So thinking its better to wind up.

Thanks

Siri