Close a Company in Georgia
Close a Company in GeorgiaUpdated on Wednesday 30th September 2020
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When opening a company in Georgia, the businessmen should also become familiar with the procedure of closing it, in the situation in which such an event may occur, due to various reasons. Businessmen may be faced with closing the company in Georgia when the business experiences serious financial issues. At the same time, the liquidation procedure can be started if the company’s founders are no longer interested in operating in a certain business field. Regardless of the reason, our lawyers in Georgia can assist foreign investors with the legal aspects that have to be met in this case.
Liquidate a company in Georgia
When closing a company in Georgia, it is necessary to receive legal assistance from a local expert. The liquidation procedure can take up to several months, depending on the size and the activities of the company. However, the shortest period in which the liquidation procedure can be completed is minimum two weeks. In order to liquidate a company in Georgia, the investors are required to start the procedure by addressing to the National Agency of Public Registry.
Further on, the institution will report the company’s current situation at the Revenue Services, which will perform tax related matters on the company. As a consequence, the company can enter the audit procedure and, in this case, our attorneys in Georgia can provide relevant information.
Legal grounds for liquidation in Georgia
The liquidation procedure is established under the Law of Georgia – About Entrepreneurs. The legislation stipulates two types of liquidations: voluntary liquidation and compulsory liquidation, which is initiated by a local court in Georgia.
The voluntary liquidation is initiated by the company’s representatives, following a major financial issue or other corporate matter, such as the inactivity of the company. Businessmen who are interested in dissolving a company are invited to contact our lawyers in Georgia, who can provide in-depth legal advice on this procedure. If you need to open or to close a company in other countries, such as New Zealand, we can put you in touch with our local partners.