Susan Barilich, P.C.
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The steps you should take when winding down your business

You worked hard to build and grow your business, but there may come a time in which it is appropriate to dissolve your business and move on to something else. There is much more involved in this process, however, than simply turning off the lights and walking away.

If you are dissolving your California business, you would be wise to ensure that you have taken the appropriate steps. This not only ensures the security of your interests, it can protect you from complications in the future. Whether you are retiring, ill or stepping away from your business for another reason, you may find it beneficial to reach out for help as you navigate the dissolution process.

What should you do next?

The steps you may need to take when dissolving your business depend on the nature of your business and other objectives you have. Some of these steps may include:

  • Notify creditors and settle any outstanding debts you may still owe.
  • Tell other stakeholders and investors about your plans to close.
  • Sell any assets that you may not need in the future.
  • If you are not a sole proprietor, follow the steps outlined in your business articles.
  • File notice with the state and take appropriate measures with the IRS.
  • Cancel any business licenses that you still currently hold.
  • Collect any money that your creditors still owe you.

There are various tax-related, financial and legal issues to consider when shutting down business operations. By seeking guidance from the very beginning of this process, you can take every step necessary to ensure that you can move on with your life after this chapter is over.

The legal structure of your business will have an impact on how to proceed as you dissolve your business. You may also need to inform suppliers, customers, employees and others who may feel the impact of your closure.

Guidance for the process

Business law issues are complex. Just as you sought guidance in the initial stages of forming your business, you would be wise to also secure guidance as you wrap up business operations.

It is not an easy choice to dissolve your business, but it may be the best choice for you. No matter your reason, taking the right steps and following the appropriate guidelines can help you gain financial security as you transition into a new stage of life. Traversing these steps with care can help you secure the legal and financial security you need.

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Susan Barilich, P.C. | 535 N. Brand Blvd., Ste. 504 | Glendale, CA 91203 | Phone: 818-500-0377 | Map & Directions