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It takes many steps to dissolve a company

Though many businesses have the potential to last for decades, it is common for companies to close their doors. When an owner does want to dissolve a company, it is not as easy as simply shutting down operations and not starting them up the next day. In fact, it can be quite an extensive process when done correctly.

California business owners looking to dissolve their companies may have different steps to take depending on the type of business structure they operated under. Businesses will need to follow the articles relating to their companies and the specific instruction for dissolution. Owners who filed documentation with the state when they opened their businesses will also need to file their dissolution papers with the state.

Taxes also need to be taken into consideration. The Internal Revenue Service as well as state and local tax agencies need to be informed of the business closing. Owners will also need to handle the final tax obligations associated with their companies. Creditors will need to be notified and any claims against the company will need to be addressed.

These steps are only a few needed to dissolve a company. Because the process needs to follow California state laws and procedures, business owners may find it helpful to enlist the help of attorneys. Legal counsel can help ensure that owners take the correct steps when filing dissolution paperwork, dealing with creditors, collecting money owed to the businesses and a number of other tasks that need to be addressed as the businesses shut down.

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