Company dissolution
in China.

If you choose to discontinue doing business in China, you are recommended to go through the official procedure of liquidation and company deregistration. We will help you with the appropriate steps to dissolve your company, comply with regulations, and avoid penalties.

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Company dissolution in China

Closing your company
in China with finality.

Evaluating your business

We will review your business’s existing status and advise on the most suitable process of dissolving it.

Preparing the paperwork

Our team of specialists will prepare the necessary paperwork to legally deregister your company and facilitate cancellation and withdrawal of any existing licenses and permits.

Filing with the relevant authorities

We will file your company dissolution with the relevant authorities in Hong Kong.

Company dissolution services

Two ways we can close your company.

Your company continues to exist as a legal entity until you decide to dissolve it. There are two conventional means to deregister a company — Normal or simple deregistration.

  • Normal cancellation

    Voluntary liquidation is when a company’s term of operation has expired, a general meeting has resolved to dissolve the company, the business license is revoked, or when majority shareholder files for an action for dissolution. This type of liquidation requires a liquidation committee to be formed and start the process within 15 days. If the company fails to initiate the group within the specified period, the shareholders or the directors may assume the relevant responsibilities.

  • Simple cancellation

    The simple company cancellation was introduced by Chinese State Administration for Industry and Commerce in 2017 to further promote enterprise cancellation facilitation and optimize the business environment. It mainly holds for companies without complicated scopes or structures. The used approach is decided by the local authorities once the cancellation process has started.

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Charged hourly

Dormant company status.

If your company does not generate income, but you are not ready to dissolve it yet, you can apply for a dormant status. A dormant company is still registered but does not generate unnecessary expenses, allowing you to save money on minimum maintenance. You can always re-activate your business in the future or fully deregister it.

Company deregistration process

Five steps to deregister your company in China.

1. Organise the liquidation committee

2. Issue public announcement

3. Cancel tax registrations

4. Cancel business registration

5. Close bank account

FAQ

Common questions.

How long does it take to close a company in China?
The timeline is highly dependent on the status of the company, the efficiency and communication among service provider, the client, and the local authorities. Based on our experience, the fastest cancellation took around 6 months and the slowest cancellation process lasted roughly 3 years.
How much does it cost to deregister a business in China?
The cost varies for companies with different statuses. The cost influencing factors include the taxpayer category of your company, whether your company has additional licenses (i.e., import and export license), whether your company has social insurance and housing fund account, etc.
What documents are needed to close a company in China?
The most important required documents include the business license and the ID/passport copies of the company’s key personnel. Some major documents such as cancellation application documents, liquidation committee filing documents and a liquidation report are also required by different handling bureaus.
What happens to a company’s assets after it has been deregistered?
According to the China’s Company Law, enterprises need to conduct the liquidation before official cancellation, and the remaining assets after the sales of fixed assets, repayment of debt, etc. will be proportionally distributed to shareholders.
Ready to get started?

Let our teams cover all requirements for closing your company with finality.

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