Is it possible to remotely close an LLC in Kyiv?
Cost of services:
Reviews of our Clients
... our work on joint projects assured us of your high level of professionalism
Many of our citizens now, as well as foreigners who were doing business in Ukraine, have left the country. Conducting business in Ukraine from another country is much more challenging. Sometimes, there's no longer a need for it at all. That's precisely why we've seen a significant increase in requests for remote business termination in Ukraine, without the need to visit the country.
Let’s examine whether the remote dissolution of a company in Ukraine is a feasible prospect, and explore the most convenient means of achieving it.
Conventional Dissolution of an LLC in Ukraine
In the process of dissolution itself, the first step is to convene a general meeting, make a decision about terminating the legal entity through the liquidation procedure, and appoint a liquidation committee or a liquidator. If all participants or at least one, who owns a significant portion of the authorized capital, are located abroad, it's necessary to consider who will be granted power of attorney. After all, there must be someone in Ukraine who can visit a notary, sign all required documents, and submit them.
Additionally, it's advisable to secure a reliable liquidator. Typically, this role falls to the director. However, if the director is among the participants located abroad, entrusting them with the cessation procedures naturally wouldn't make sense. Therefore, foremost, a dependable individual in Ukraine is needed, or a legal firm can assume this responsibility.
It's noteworthy that even before the commencement of a typical liquidation, several aspects need to be taken into account:
- Dismissal of employees
- Payment of wages
- Settlement with creditors (employees to whom wages are owed are also considered creditors)
Additionally, it's advisable to conduct a preliminary audit before submitting financial reports to ensure there are no outstanding obligations. It's better to identify these issues preemptively rather than have them discovered by tax authorities during an audit.
We discussed the finer points of preparing for the dissolution of an LLC in more detail here.
By undertaking the typical dissolution of a legal entity, it's important to grasp that this is a long-term commitment, spanning at least several years. The reasons behind these specific timelines are well-defined. You can explore these details in our material, where we provide a step-by-step guide to business liquidation in Ukraine.
Hence, it is possible to initiate the liquidation process remotely by granting power of attorney to individuals who will be handling this. However, knowing that the process will endure for a considerable duration, many may find themselves feeling apprehensive until everything is finalized and officially struck off the records.
Alternative Dissolution of an LLC
This process isn't exactly a liquidation, meaning it doesn't entail the complete cessation of a legal entity and its removal from the official state registry. We've discussed this method of swiftly divesting from an LLC on numerous occasions as well. For more detailed information, you can refer to our article titled "Alternative Dissolution of an LLC: Procedure, Timelines, and Costs."
In essence, it involves the sale of the company to an entirely different entity. This new entity will act both as a new participant and a leader. As a result, the previous stakeholders and leaders will no longer have any affiliation with this business entity. Additionally, it's possible to modify the LLC's name, address, and contact details.
How to Efficiently and Promptly Close an LLC Remotely in Ukraine?
To achieve this, you can grant power of attorney to an individual located in Ukraine who can personally sign all documents before a notary and submit them for processing the necessary changes. However, can this person independently find a buyer for the company? Indeed, it's challenging to find someone who will take on such a responsible task. So, it's better to directly approach those who can handle everything comprehensively. Where can you find a trustworthy representative?
Our company boasts valuable experience in remote LLC closures and alternative dissolutions. We can identify potential buyers, draft power of attorney documents, and explain how and where to authenticate them based on your country of residence (apostille, legalization, or notarization). On your behalf, we will sign all required documents and carry out the necessary registration procedures.
Feel free to reach out to us – we'll efficiently manage your legal matters, regardless of your geographical location!
You may also like: