In order to liquidate an Estonian company and liquidate a business, a decision and application of liquidation must be made, showing who is going to liquidate the company, in other words, the liquidator. The liquidator will then place a notice on the Official Announcements Website (www.ametlikudteadaanded.ee) stating that the company will be liquidated. At the same time, the financial statements and balance sheet must be drawn up, showing the company’s assets and liabilities. Any cooperation agreements will also be terminated at this stage.
After that,you have to wait 4 months so that, for example, potential creditors can file claims. This is followed by the final profit and lost statement and balance sheet.
Then, the final dividend can be raised from the company. The dividend is also subject to income tax. You will then have to wait another 3 months to apply for cancellation with the Trade Register. We have closed dozens of Estonian companies and we have a strong track record in liquidation. The prices for liquidation of a business start from € 500.
It should be noted that if a company is wound up voluntarily, it is a liquidation procedure.In this case, the company should have more assets than debt. On the other hand, if a company has more debt than it has assets, it is a bankruptcy proceeding.Bankruptcy proceedings may also be filed in other ways than voluntarily, for example, by a principal, a creditor or an authority. It should also be remembered that an Estonian company must prepare annual financial statements, regardless of whether the company has an activity or not. In other words, the company cannot be shut down by notifying the Estonian Trade Register that the company does not close its accounts because there has been no activity.