Business Advice
Voluntary winding up of a company
Most of the people have a misconception that a company receives a winding up order only due to shortage of finances. However, it is also possible that a company is wound which can be done voluntarily without the financial crises. There may be two important reasons as to why a company is wound up. A company can be wound up if it has been set up only for a certain time period. This may be done when the time period is over. A company may also be wound up if any certain event has occurred. This is done when all the members of the company resolve the wind up of the company which is done at the general meeting held inside the company. The procedure of winding up company should start immediately after the decision of resolution. This is called the voluntary winding up company act.