Company Dissolutions and Strike Off

Company Dissolutions and Strike Off

Company dissolutions and strike-offs represent the formal closure of a company's operations. Dissolution typically involves the voluntary winding up of a company's affairs, either due to insolvency, completion of objectives, or shareholder decision. During dissolution, assets are liquidated, debts are settled, and remaining funds are distributed among shareholders. Conversely, strike-off refers to the removal of a defunct company from the registrar of companies due to non-compliance or failure to file statutory documents. This process is initiated by the Registrar of Companies after issuing notices to the company for non-compliance. Both dissolution and strike-off procedures require adherence to legal requirements, including clearance of debts, settlement of liabilities, and compliance with regulatory obligations to ensure a smooth closure of the company's affairs.