More about Close a Private Limited Company

Ways to closing a Private limited company

  • By winding up of a company:
    • By the Tribunal (also known as compulsory winding up): This is done by MCA subjected to their rules and decision. The company doesn’t have a control over this.
    • Voluntary winding up: This can be initiated by the company. This method is used when a company has assets and liabilities and would want to wind up. It is a complex and time consuming process.
    • Subject to the supervision of the court: The court can order winding up of a company in response to a petition filed. The company does not have control over this process
  • Striking off of the Company (STK-2 Filing):
    • Companies eligible for STK-2 filing can file a request with MCA to strike of their company from the Register of Companies. On approval, the status of these company is changed to Struck off (defunct). This is a relatively simple process and widely used by companies which are no longer in business.

Process Flow

Timeline 4-6 working days
  • Raise a request with us, discussion with Wazzeer team, share basic information
  • Review proposal and hire
  • Share details and documents
  • EGM to Propose Closure of the Company
  • Preparation of accounts
  • Documentation and their notarization
  • Filing for STK-2

Required Documents

  • Certificate of Incorporation
  • MoA and AoA
  • PAN of the company
  • Bank account closure document

Key Deliverables

  • Statement of accounts
  • STK-3 and STK-4 forms filled and on a stamp paper
  • Board resolutions
  • STK-2 Filed Acknowledgement

Why choose Wazzeer?

  • One platform for all your requirements

    Incorporation is just the first step. Wazzeer supports you throughout your journey as an entrepreneur. Log in to get things done efficiently. A dedicated Account Manager offers the required human touch and acts as an advisor to you.

  • Experienced professionals

    Our professionals have at least 5 years of experience and have incorporated thousands of companies among them. The rich experience ensures that the process is smooth and right in the first go.

  • Defined process

    Over the last few years, doing over 500 incorporations, we have defined every step of the process. A virtual process is in place enabling us to deliver hassle free experience for you.

  • Cost Effective

    You pay what you see in the proposal. No surprises or hidden charges.

Frequently Asked Questions

A company may, after extinguishing all its liabilities, by a special resolution or consent of seventy-five per cent members in terms of paid-up share capital, file an application in the prescribed manner to the Registrar for removing the name of the company from the register of companies.
A company meeting any of the conditions below can apply for STK-2:
The company has failed to commence its business within one year of its incorporation company is not carrying on any business or operation for a period of two immediately preceding financial years
  • The Company should not have any assets and Liabilities
    In case, if assets and liabilities have been shown in the previously filed balance sheet, proofs should be shown that the assets have been disposed off and Liabilities waived off or repaid
  • The Company should not have any Bank Accounts
    If the Company had previously opened any bank account requisite proofs should be shown for closure of such accounts
Even after company being stricken off on account of filing STK-2, the liabilities of the Directors exist for a further period of 2 years. In case any liability arises in this period of 2 years, Directors are liable to pay the same.
No. A company regulated under a special Act, approval of the regulatory body constituted or established under that Act shall obtain an NOC from such authorities and enclose it with the application.
Your DIN continues to be in active state and you will be eligible to incorporate further companies/ LLP and also continue to hold your Directorship/ Designated Partnership in other Companies/ LLP.
Yes. However, RoC has discretionary power and if they have reasonable doubt to believe that the company might be involved in any malicious activity they can ask the company to file the annual returns for all those years for which annual returns have not been filed.
Once the form is filed, MCA sends the same to IT Department to ascertain there were no payables from the company and after the IT Department sends its approval MCA changes the status of the company from Active to Struck-off (Defunct). This may take up to 3-4 months for MCA to process.
No. RoC has discretionary power to approve/ reject the form. In case MCA rejects the application they will send a reason for the same. In case, the reason can be rectified, we can rectify the same and re-submit for approval. But the major point to be noted here is that the it is entirely RoC’s decision to approve or reject the application.

Still have doubts?

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