How long does company closure take?
Usually 3–6 months from filing to the gazette notification. A clean case with no pending filings takes about 3–4 months; pending returns, ROC queries or inactive DINs can push it to 5–7 months. The stages are: documents and CA-certified accounts (1–2 weeks), filing Form STK-2 or LLP Form 24 on MCA21 (1 day), review and a 30-day public notice inviting objections, then final processing and the strike-off notice in the Official Gazette (1–3 months, depending on workload). See the stage-by-stage timeline.
Can we close the company if we have pending GST or TDS dues?
Pending dues must be cleared before filing for strike off. Our CA will assess your compliance status and help you clear overdue filings before initiating the STK-2 process.
What does company closure cost?
Our professional fee depends on the entity and how many filings are pending: ₹9,999 – ₹15,999 for a private limited company, ₹7,999 – ₹11,999 for an LLP and ₹8,999 – ₹12,999 for an OPC. The government fee is extra: ₹10,000 for Form STK-2 (private limited company and OPC), which is fixed, and ₹500 for LLP Form 24 (₹1,000 if the LLP is not a small LLP). Stamp paper and notary charges for the indemnity bond and affidavit are paid at actuals. Your CA reviews your case and sends a fixed, itemised quote before you pay anything.
What if we have overdue annual returns?
Companies with default in annual filings can still apply for strike off. Our CA will file the outstanding returns and regularise the company before submitting the STK-2 application. This is part of the service.
What documents do we need to close a company?
For a company: a board resolution, a special resolution or the written consent of members holding 75% of the paid-up capital, an indemnity bond (Form STK-3) and an affidavit (Form STK-4) from every director, a statement of accounts certified by a CA and not older than 30 days, the latest income tax return, and proof that the bank account is closed. Every director needs a valid DSC and an active DIN. An LLP files Form 24 with the consent of all partners, a statement of accounts and an affidavit from the designated partners. Your CA sends you a checklist for your entity. Full document checklist.
Who processes the closure application?
Strike-off applications are processed centrally by C-PACE, the MCA's Centre for Processing Accelerated Corporate Exit, not by your local ROC. C-PACE has handled company applications (STK-2) since May 2023 and LLP applications (Form 24) since August 2024. Your CA answers any queries C-PACE raises during review.
What happens if we just stop operating and don't close the company?
The company still has to file its annual returns, financial statements and income tax return every year, even with no business. If financial statements or annual returns are not filed for three continuous financial years, every director can be disqualified under Section 164(2) of the Companies Act, 2013 from being appointed to any company board for five years, and the ROC can strike the company off on its own under Section 248(1). A voluntary closure ends these yearly obligations in an orderly way.
Are directors liable after the company is struck off?
Yes. Under Section 248(7) of the Companies Act, 2013, the liability of every director, officer and member continues after strike-off and can be enforced as if the company had not been dissolved. That is why each director signs an indemnity bond, and why your CA checks that all dues are settled and the accounts show nil assets and nil liabilities before filing.
Can a struck-off company be restored?
Yes, through the National Company Law Tribunal (NCLT) under Section 252 of the Companies Act, 2013. The company, a member, a creditor or a workman can apply within the time limits in that section, and the tribunal decides whether restoration is justified. It is a tribunal process that usually takes 6–12 months, so it is far simpler to get the closure right the first time. How restoration works.
Do we need to cancel GST registration before closing?
Yes. Apply to cancel the GST registration (Form GST REG-16), get the cancellation order and file the final return (GSTR-10). An open GST registration or unfiled GST returns is a common reason for objections and delays. Our CA guides you through the cancellation as part of the closure.
What should we do with the company bank account?
Close every company bank account once the final payments and dues are cleared, and keep the bank's closure letter. The statement of accounts filed with the application must show nil assets and nil liabilities, so a balance left in the account can hold up the closure.
What happens to employees, PF and ESI?
Settle all salaries, full-and-final payments and statutory dues first. If the company was registered under PF, ESI or professional tax, file the final returns and apply to close those registrations. Unpaid employee dues are a liability, and they can lead to objections to the closure. What happens to employees.
