What do we do when we want to dissolve a company in Indiana? That depends on several different factors.
- 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 show you how to dissolve a business in Indiana the right 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 Indiana
How much does it cost to dissolve an LLC in Indiana? Well, as a business owner, you must file for Articles of Dissolution with the Indiana Secretary of State. Filing for Articles of Dissolution in IN will cost you $30 to file by paper and $20 to file online.
- 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 cancel an LLC in Indiana can be found here, you must provide your filing number in order to begin the dissolution process, and also create an account in order to access the form.
- If you are interested in restoring/reinstating a dissolved limited liability company, you will need to pay all the penalties and overdue fees that your business has accumulated, and then you must fill in the specific form with the Secretary of the State.
Dissolving an LLC in Indiana is required by law, and the process to dissolve a business in Indiana is complex, to say the least. So, you will need to complete multiple steps before entering a proper Indiana 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 Indiana LLC for you.
How to Dissolve a Corporation in Indiana
A corporate dissolution (for a C-Corporation or S-Corporation) in Indiana 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, as mentioned before with dissolving an LLC, you must create a free account with the Secretary of State before accessing the correct forms and documents. For non-profit companies, the dissolution process is the same as for regular profit corporations, including the fees.
To dissolve a Corporation in Indiana, there are multiple requirements and non-compliance that can lead to serious legal consequences. To dissolve your Indiana 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 Indiana?
The methods for discontinuing businesses in Indiana really do depend on how the business has been legally organized and the structure of the company itself. So, for a Sole Proprietorship in Indiana, 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 Partnerships in Indiana, you must follow the same process as you would for an LLC – file for a certificate of cancellation with the Indiana Secretary of State, the cost is $90.
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 or a certificate of cancelation from the state of Indiana, which officially end the existence of an Indiana 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 or cancelation must be in good standing with the Secretary of State for the state of Indiana and need to adhere to all state laws surrounding the dissolution process, which in Indiana’s case, are pretty straightforward.
Once an Indiana 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 Indiana 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 Indiana company will then 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 Indiana Department of Financial Institutions
Why Do I Need to Dissolve My Indiana 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 Indiana Secretary of State. It is more cost-effective to pay to dissolve your Indiana company the right way than it is to face penalties, unknown taxes, and late fees.
Indiana Company Dissolution by Mail
If you do not want to dissolve your business in Indiana online, you can mail the dissolution form to the Indiana Secretary of State.
When paying this fee, make sure to include a letter containing your telephone number, return address, and certification requirements, and mail to:
Secretary of State
Business Services Division
302 W. Washington Street
Indianapolis, IN 46204