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Closing Private Limited Company

If your business in the private limited company is not running properly or faces continuous losses, it is better to close such private limited company and look for a new beginning. A private limited company needs to be closed or windup when there are no exchanges or the Directors of company are not willing to proceed its operations. A private limited company generally can be shut by both voluntary and compulsory circumstances. Private limited Company Closure is done through Bhanu and Co.

Winding up a private limited company is a tedious, but necessary, procedure. Without doing so, you would need to annually meet the requirements of the Registrar of Companies (which means spending money on audit and compliances). The bigger reason you would want to do this, of course, is because it releases the assets and investments made by you.




Reasons to Close a Private Limited Company


Fast to Close


A company can also be closed under the fast track exit scheme quickly in about 90 days, whereas traditional methods take longer and are more cumbersome. Hence, closing a company under fast track exit scheme is faster and easier.

Low Cost


When compared to maintaining compliance for a dormant company, it might actually be cheaper to wind up a company and incorporate again when the time is right.Bhanu and Co can help you wind up a company starting from just Rs.25000 all inclusive fee.

Avoid Fines


A company that doesn't file its compliance on time incurs fines and penalty including debarment of the Directors from starting another Company. Hence, it is better to officially wind up a company that is inactive and avoid potential fines or liabilities in the future.

Easy to Close


The fast track exit scheme was specifically introduced by the Government to make it easy for inactive companies that have NIL assets and liabilities to close down or wind up. Hence, the formalities for winding up of a company under fast track exit scheme is easy to complete.



Proedure For Private Limited Company Closure



  • Complete our Simple Form : START
  • Drafting Affidavit : 12 Working Days
  • Filing Financial statement : 2 Working Days
  • Document Submission : 22-25 Working Days
  • Your work is completed : Congratulations

Requirements For Closing Private Limited Companies



  • Pass an ordinary resolution in Board of Directors meeting.
  • There should be no business activity from the day when resolution is passed
  • Declaration by members stating there is no debt pending on company and the required forms are filed
  • Atleast one year old from date of Incorporation.
  • There is no business Activity for one year
  • File a statement of Account annexed at Annexure C