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 € 600.
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 can also be entered into in a way other than voluntarily, e.g. by the principal, creditor or authority. If the bankruptcy application is not filed within 20 days from the onset of insolvency, the board members may become liable for the company's debts. It should also be remembered that an Estonian company must prepare financial statements every year, regardless of whether the company has operations or not. In other words, it is usually not possible to shut down a company by informing the Estonian Trade Register that the company does not make financial statements because there has been no activity. On the other hand, if the company has never had any activity, you can apply for accelerated dissolution of the company.