Closing a BVI Company – BVI Company Dissolution
If you no longer require your company and wish to have it struck off the register we can assist with a BVI Company Dissolution.
There are many reasons a company may need to file for liquidation beyond simply ceasing trading or maybe not even getting started, other reasons include a retirement, merging with another company or being acquired.
Irrespective of the reason, it is very important to take the necessary steps to dissolve the company correctly, don’t just leave it and walk away. As a Director you need to comply with regulations as well as protecting yourself from potential risk and fines.
We can have the company struck off the register through a Voluntary Liquidation in accordance with the BVI Companies Act.
When a company is subject to a Company Registry penalty or is struck-off, it is no longer in Good Standing. However the company still exists and as such may incur liabilities and have claims made against it. Directors and Shareholders remain responsible incurred before the company was stuck off. We strongly recommend that a company be formally liquidated rather than struck off.
Any property not disposed of prior to a company’s dissolution is deemed to be owned by the BVI Government, so it is important to dispose of any property that is held by the company prior starting the Dissolution process.
BVI Company Dissolution fees
- Company Search: £148
- Our Service fee: £380
- BVI Agent / Liquidator – depends on individual case, in the region of £2500
- Economic Substance filing (mandatory): £450
Having your BVI company Dissolved
Having your company dissolved in accordance with the BVI Companies Act through liquidation, rather than struck off by the Companies Registry, has the following advantages:
- Maintains the company’s directors and shareholders reputation for future business ventures
- It is a straightforward process compared to company liquidation
- It avoids formal investigation into the conduct of the directors as required in liquidation or receivership
- It avoids the costs of liquidation, fees and expenses
BVI Company Liquidation
Liquidation under the BVI Companies Act is a voluntary process requiring a resolution of shareholders or, in certain circumstances, a resolution of directors.
A company may only be liquidated under the Companies Act if it has no liabilities or, where it does have liabilities, it is able to satisfy them in full as they become due for payment and the value of its assets equals or exceeds its liabilities.
Penalties will accrue if the company has not paid the necessary renewal fees, such as Registered Agent fees and Government fees.
A struck-off company remains liable to any due and unpaid fees; it also remains liable to all obligations and debts.
- We draft a Declaration of Solvency stating that the company will continue to discharge and settle its debts. This declaration can be accompanied by a recent bank statement.
- We design a liquidation plan for your BVI company dissolution, this plan includes the reasons for the dissolution and the required period to liquidate your company.
- We draft the Resolution of Directors and the Resolution of Shareholders and signed by the directors and the shareholders.
- The notice of dissolution is then advertised in the Official Gazette newspaper in the BVI, one month must past, in which time objections to the Dissolution can be brought.
- Once all forms are completed we file the documents with the BVI registry to have the company dissolved.
- Once the dissolution is approved, we will forward the confirmation from the register.