If a Company has reached the end of its useful life, its directors can arrange to have the Company struck from the Registrar at Companies House.
If your Company has ceased to trade and is considering a striking if off procedure, speak to CFS Restructuring LLP before the necessary forms are filed. You might find that a Members Voluntary Liquidation, a solvent liquidation process, will be more suitable to your Company’s needs.
Why would a Company be struck Off?
- The Company concerned might be a dormant Company and there is no longer a requirement to keep it.
- It might be the non-trading entity of a larger organisation that is no longer required.
- The Company might have ceased to trade.
- The owners of the business are retiring and no succession planning has been entered into.
What could stop me from striking my Company off?
- If the Company has traded or carried on its business in the three months prior.
- If it has changed its name in the three months before the application to strike off
- Is subject to a formal insolvency procedure.
- All of the Company’s debts must be settled.
How do I apply to have my Company struck off?
- The directors must file Form DS01 with the Registrar. It needs to be signed and dated by the sole director, if only one, both directors if two are appointed, otherwise a majority.
- Once the Form DS01 is signed, it will need to be filed with the Registrar of Companies with the appropriate fee.
Are the rules any different for an LLP?
- The form required is an LLDS01 and needs to be signed by the members in the same manner as the DS01.
What happens after I file the forms with the Registrar?
- Companies House will acknowledge receipt of the filed forms.
- A notice will be placed in the London Gazette by Companies House.
- If no objection is received to the striking off, it will be taken off the Register not less than three months after the filing of the forms.
Do I need to give consideration to anything else when applying to strike off my Company
- The directors, when applying to strike off a Company, must give consideration to their fiduciary duties.
- It is an offence to apply to have a Company struck off if the Company is ineligible.
- It is an offence to provide false information in having a Company struck off.
- It is an offence if you do not circulate notice to all relevant parties within seven days of the application being submitted.
- Any contravention to these rules could lead to a fine of £5,000, or an unlimited fine in any offence is convicted through a jury led process.
Can CFS Restructuring LLP help me determine if striking off is appropriate?
If you are still unsure if a strike off procedure is appropriate for your Company, get in touch with CFS Restructuring LLP today. We will provide you with a free of charge review of your Company’s affairs, advise you if striking your Company off the Register is the appropriate route and if it isn’t, we will provide you with the alternatives that are available to you.