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Company liquidation.

For whatever reason, if you decide to no longer continue to do business in Hong Kong, you need to go through the formal process of closing down your company.

Two types of company liquidation.

Businesses have two choices when it comes to liquidation: deregistration or winding up. While both procedures will result in the dissolution of the company, the processes are significantly different.

De-registration

Deregistration is a relatively simple, inexpensive, and quick procedure for dissolving defunct private companies that meets certain specific requirements. These are:
  • All the members of the company agree to the de-registration
  • The company has not done business or operated for three months immediately prior to the application
  • The company has no outstanding liabilities
  • It has obtained a written notice of no objection from the Commissioner of Inland Revenue

Winding-up

Winding up is a more complex process compared to deregistration. It concerns appointing a liquidator who will settle the accounts, pay off the company’s debts (if any), liquidate its assets, and distribute the surplus assets (if any) to members, thereby ensuring that the company is completely dissolved. Moreover, it is important to note that winding up can be initiated in one of two ways: voluntarily (by members/shareholders) or involuntarily (by the court).

How Acclime can help.

Regardless of how you chose to close your company, we can provide professional assistance.

  • Advising and assisting in the liquidation and deregistration of companies
  • Advising on how to suspend/close your business
  • Facilitating cancellation and withdrawal of licences
  • Assisting in applying for dormant status for Hong Kong companies
Ready to get started?

Request a quote now to take the next step towards liquidating your business.

Not sure where to begin?

Get a free 30-minute consultation on starting and operating your company in Hong Kong.

Alan, Commercial director