Any commercial legal entity passes three steps of its life cycle, and its final one is liquidation. Company liquidation is a standard several staged process that terminates the life cycle of a firm and excludes it from the Unified Public Register of Legal Entities. The whole process goes following the Law of the Russian Federation.
Besides, there must be a reason to liquidate a company. For example, a court judgment or a resolution of the board of directors to close a legal entity is a reason for that. Russian Bank, Prosecutor, Federal Antimonopoly Service, Federal Body of Executive Branch or a Company’s member or founder can file a lawsuit against the company (to liquidate it).
Considering all the features of this process the best way to pass the process quickly and effectively is to apply for professional company liquidation services.
Company incorporation (LLC/JSC) depending on the founding members:
|Liquidation of company||from 1300 euro|
How do they liquidate companies in the Russian Federation?
According to the local legislation of the Russian Federation, there are two options for commercial company liquidation:
- Voluntary. This way starts with the decision of the board of directors to close a company. This happens, for example, if further company activities are impractical, since it has not achieved the set goals (cannot achieve them in any case), or vice versa, the main goal has been achieved, and further work is impractical.
- Compulsory. It goes only by a court decision. A court can make such a decision if, for example, a firm conducts illegal activities, or operates without an appropriate license. Another reason for that is violations committed during the company registration process. In this case, the Government body is a plaintiff in a court, as a rule. Besides, one of the company’s members or founders can claim against a company, in case a company cannot accomplish its set goals, for example, if it cannot conduct its normal activities due to constant internal conflict. when a company cannot conduct its normal activities due to constant internal conflict.
Professional lawyers are well-aware of these two ways and their features and can provide you with company liquidation services in both these cases.
The main stages of the liquidation process
It is very important to carry out the liquidation process strictly following local laws. To complete the process as quickly as possible and without any problems, it is very important for a lawyer engaged in this process to have the experience, therefore, it is recommended to find such a specialist before starting. Here’s how this step-by-step process looks in brief.
- The decision of the board of directors on legal entity closing and appointing a liquidator.
- Notification of government authorities, creditors, and employees.
- Drawing up an interim liquidation balance sheet.
- Apply information about company’s workers to Federal Tax Service and Pension Fund
- The satisfaction of claims.
- Drawing up a liquidation balance sheet and distribution of assets.
- Collect and submit the documents package to the Federal Tax Service And to Archive Fund of Russian Federation
To pass the whole process quickly and smoothly, one needs professional company liquidation services.
Company liquidation services from VALEN
The VALEN team consists of professional and highly qualified lawyers who are well aware of all the intricacies of the process of company liquidation in the Russian Federation and can do everything so that the process goes as quickly and efficiently as possible.
We offer you the following services:
- Assistance in the preparation and collection of documents.
- Support in communication with government agencies.
- Assistance in solving accounting issues.
- Consulting at all stages.
Contact our experts, they will provide you with the first consultation on company liquidation services.