STRIKING-OFF THE COMPANY
There are plenty reasons of why one wants to strike off his/ her company. It could be because the economy is bad, especially during the pandemic. In 2020, more than 43,000 companies have ceased their operation. Striking off a company means deregistering the company from the Register of Companies in ACRA.
There are two ways to close a business: To strike off or to wind up
The main difference is in the process of closing the business. If the company to be closed does not have any assets or liabilities and is not active, striking it off is a better option. If the company has assets and requires a liquidator to distribute the company assets and arrange the payment of the remaining debts, then winding up is the option to go.
CRITERIA TO STRIKE-OFF A COMPANY
– The company has no outstanding debt to any government agency
– No pending legal proceedings
– The company has no assets and liabilities
– The striking-off application must be authorized by all the directors
– The company has ceased all business operations/ trading.
– GST registration has been canceled
APPLICATION TO STRIKE OFF A COMPANY
You may appoint us as your agent to submit an online application to strike off your company. Book an online application with us, and we’ll happily advise you on the necessary requirement and information required to strike off your company.
Upon submitting the application to ACRA, it will take 5 days to process the application. Once it’s approved, the approval letter will be sent to the company’s registered office address. After 30 days from the approval, the name of the company will be published in the Government Gazette. 60 days after that, the name of the company will be published in the Government Gazette again and the name of the company will be struck off from the register.