What do we do when we want to dissolve a company in Connecticut? There are several factors to consider as follows:
- What type of business entity is being dissolved?
- Are there any remaining assets in the business, and will there need to be a liquidation?
- Are there any outstanding debts?
- Are the business owners all in agreement about dissolving the company?
We cover how to dissolve a business in Connecticut the correct way by providing you with the appropriate forms, information about the dissolution process, and what to do if you change your mind and need to undo a dissolution of your company.
How to Dissolve an LLC in Connecticut
How much does it cost to dissolve an LLC in Connecticut? Well, as a business owner, you must file Articles of Dissolution with the Connecticut Secretary of the State. Filing Articles of Dissolution in CT will cost you $50 to file online, which will take around 3-5 business days, and it will cost an additional $50 for an expedited service, where you will receive a specific expedited request form.
These articles must include the LLC’s name, the effective date of the company’s dissolution, what led to the company’s dissolution, and the information (name, address, and signature) of the person appointed with dissolving the company if the company has no members.
- The appropriate form to dissolve an LLC in Connecticut can be found on this page, you must provide your filing number in order to begin the dissolution process.
- If you are interested in revoking a dissolved limited liability company, you will need to pay all the penalties and overdue fees that your business has accumulated with the Secretary of the State.
Dissolving an LLC in Connecticut is required by law, and the process to dissolve a business in Connecticut is certainly no walk in the park. You will need to complete multiple steps before entering a proper Connecticut LLC dissolution. To eliminate potential liability, lawsuits, and additional fees, you should consider using the services of a Business Filing Services Company that can affordably dissolve your Connecticut LLC for you.
How to Dissolve a Corporation in Connecticut
A corporate dissolution (for a C-Corporation or S-Corporation) in Connecticut can be done whether a company has issued shares or has not yet issued shares.
- If a company has issued shares, the Articles of Dissolution must be approved via a shareholder meeting.
- If the company has not yet issued shares, the dissolution must be approved by a majority of the business owners or the Board of Directors of the company.
The appropriate forms to dissolve a company that has issued shares (and those that haven’t) can be found here. For non-profit companies, the dissolution process is much the same as for regular profit corporations, the fee is included in the fee PDF above.
To dissolve a Corporation in Connecticut, there are multiple requirements and non-compliance that can lead to serious legal consequences. To dissolve your Connecticut Corporation the right way, you should consider using the services of a Business Filing Services Company that can do this for you at an affordable, flat fee.
How do I Dissolve a Partnership or Sole Proprietorship in Connecticut?
The methods for discontinuing businesses in Connecticut really do depend on how the business has been legally organized and the structure of the company itself. So, for a Sole Proprietorship in Connecticut, you are not required to file a form or pay any filing fees.
The process is straightforward, you must pay off any outstanding debts that your business may have acquired, there is no dissolution paperwork to fill out, once the debts have been paid, you simply need to terminate accounts and move on.
For a Partnership in Connecticut, you must file for articles of dissolution, like you would an LLC or a corporation. Here is the appropriate form, the fee is the same as an LLC, $50 with an additional optional expedited fee of $50.
Common Filing Requirements & Actions for Dissolving LLCs and Corporations
While there are specific processes that companies must go through to receive a certificate of dissolution from the state of Connecticut, which officially end the existence of a Connecticut business, it is important that financial debts get settled, bank accounts are closed, outstanding tax obligations (such as sales taxes, business taxes, and state taxes) are paid, and all payroll obligations are fulfilled.
Companies going through a voluntary dissolution must be in good standing with the Secretary of the State for the state of Connecticut and need to adhere to all state laws surrounding the dissolution process, which in Connecticut’s case, are pretty straightforward.
Once a Connecticut company has been dissolved, and its Articles of Incorporation or Articles of Organization are no longer valid, you should make the Internal Revenue Service aware that the Connecticut business has been dissolved.
This notification to the IRS should be in the form of a letter that includes the Business Name, its Federal Tax ID Number (EIN or FEIN), the business address, and the reason for the dissolution.
The Connecticut company will need to file a final tax return after you have filed for dissolution (both a federal tax return and state tax return) with the IRS and the Connecticut Finance Department.
Why Do I Need to Dissolve My Connecticut Company?
If you are going to be ending your business, you may wonder why go forward with paying the filing fees and submitting paperwork to dissolve the company? Doesn’t the business just stop once you decide to stop?
Not necessarily – failing to dissolve a company properly can lead to penalties, potential lawsuits, and other fees until the company is formally dissolved with the Connecticut Secretary of State. It is more cost-effective to pay to dissolve your Connecticut company the right way than it is to face penalties, unknown taxes, and late fees.
The simplest way to dissolve a business in Connecticut is to utilize the services of a professional Business Filing Services Company that will do it all for you. This will eliminate unnecessary administrative costs and potential liability and will ensure it is done correctly and according to Connecticut law.
Connecticut Company Dissolution by Mail
If you do not want to E-File to dissolve your business in Connecticut, you can mail the dissolution form to the CT Secretary of the State.
When filing for your dissolution by mail, please mail to:
Business Services Division
Connecticut Secretary of the State
P.O. Box 150470
Hartford, CT 06115-0470