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Are corporations easy to dissolve?

In most cases, a simple majority vote is sufficient to pass the resolution for corporate dissolution. The Board needs to develop a plan of dissolution once the shareholders approve the dissolution.

Is it hard to dissolve an S Corp?

In general, you cannot dissolve a business with S Corp status without the approval of shareholders or the board of directors. Approval must come from shareholder and director resolutions, which must be recorded in official corporate records.

Does a corporation dissolve on its own?

While there is no legal requirement that a corporation must dissolve if its no longer doing business, there are good reasons to do so. A small business that remains incorporated, even if it is inactive, must continue to file state and federal income taxes, even if it did no business during the year and had no income.

How long does it take to dissolve C Corp?

It can take the SOS at least eight weeks to process your filings, but processing times can vary. Various forms of expedited processing are available for additional fees. Be aware that your business name will become available for use by others after dissolution.

What happens when you dissolve a corporation?

After a company is dissolved, it must liquidate its assets. Liquidation refers to the process of sale or auction of the companys non-cash assets. Note that only those assets your company owns can be liquidated. Thus, you cant liquidate assets that are used as collateral for loans.

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