Visit our dedicated small business restructuring site for small business owners facing financial distress.
ASIC provides guidance on closing a small business, covering deregistration for companies and trusts, including both voluntary and ASIC-initiated options. Requirements for closure include consensus among members, asset valuation below $1,000, no outstanding liabilities, and no ongoing legal action. Directors are reminded of their legal duties to act in the company's best interests, and the serious consequences of failing to do so. Other options include a members' voluntary winding up for solvent companies and external administration for insolvent ones.
If your business is insolvent, it's important to consult a liquidator or lawyer before proceeding, as the risks of civil penalties or criminal charges without professional guidance can be significant. Contact us if you need immediate assistance, or watch ASIC's video on how to close down a company in Australia. You can also read more about cancelling a business on the ASIC website.
Further Reading
Title | Short Summary |
|---|---|
AFSA Bankruptcy Search: InfoTrack Tool | A search tool providing quick and reliable access to bankruptcy records, supporting informed decision-making for individuals and businesses. |
NSW Government's Business Connect Program | Business Connect provides advice for financially challenged businesses, helping identify options and strategies for recovery. |
The Treasury Small Business Guide | Resources and guidance from The Treasury for small businesses, with information on government policies, support programs, and financial management. |
