What's the cost of closing a business?

[Squiggs]

My Mrs is in partnership with one other person.
The business is LTD.

What would the approx. legal costs of closing the business be?

Cheers

[tumble dryer]

Difficult one. Depends on lots of circumstances.

Are they proposing to wind up due to lack of profitability/balance sheet position or just because they've 'had enough'?

Any PGs?

[sleepezy]

Is there a dispute between shareholders or just a simple cessation of trade?
Has it ever traded?
Are all liabilities going to be extinguished or is there a deficiency (are all creditors going to be paid)?

[Squiggs]

They will have been trading for three years and have mutually agreed that they've had enough.

[Squiggs]

All creditors will be paid

[Squiggs]

Bump .....
Just a rough guide will do - £50? £100? £500? £1000? £5000?

[tumble dryer]

Squiggs said:

Bump .....
Just a rough guide will do - £50? £100? £500? £1000? £5000?

If no creditors and just ceasing trading, negligable.

Fire a letter off to companies house (and HMRC) pretty well job-jobbed.
(The no creditors/PGs/zero financial liabilities are important though.)

[Squiggs]

tumble dryer said:

If no creditors and just ceasing trading, negligable.

Fire a letter off to companies house (and HMRC) pretty well job-jobbed.
(The no creditors/PGs/zero financial liabilities are important though.)

Cheers

[Eric Mc]

Ensure all debts of company paid of.

Ensure all shareholders are in agreement regarding any sums owed to them.

If all is OK, apply to Companies House for a "Striking Off". It costs £10 to file this application at Companies House.

Companies House will list the company as being in the process of being "Struck off". If no objections are received from third parties, the company will be formally "Struck off" at Companies Hose after six months.

[sleepezy]

Sorry - had logged off but Eric's now answered - just be sure that there are no creditors, or potential creditors (from e.g. warranty/contingent claims) that might come back to haunt you. Either way, for a relatively small & simple business, which I assume it is, striking off seems the way to go.