There may be a period in your career as a business owner when you have to shut down. Although making the right choice now can be challenging, doing so can help you avoid any future legal or financial problems. In Hawaii, closing a small business entails a number of procedures, including submitting the required paperwork and contacting any parties who may be affected. What you should know is as follows.
Article termination describes the procedure for formally severing your company entity. Articles of Dissolution must be filed with the Department of Commerce and Consumer Affairs (DCCA) in Hawaii. This letter formally informs the state that your company is no longer in operation. Information regarding your company, such as its name, address, and the cause of dissolution, must be provided. The names and addresses of the members or management of your LLC are also required. Is a Registered Agent Required for My LLC? In Hawaii, you must have a registered agent if you are an LLC. This is the person or firm in charge of obtaining legal paperwork on your company’s behalf. You must make sure that your registered agent is informed of the dissolution when your business is closing. Any legal notices or other crucial documents pertaining to the dissolution process must be delivered to them, thus they must be accessible. What Should the Name of My LLC Be? The name of your company must be decided upon before you can legally establish an LLC in Hawaii. Your company name must be original and not in use by another company in Hawaii. The phrase “Limited Liability Company” or the abbreviation “LLC” must also be in your company name. This makes it easier to identify your company as an LLC, which has certain legal ramifications.
When establishing an LLC in Hawaii, you must complete both the LLC-1 and LLC-12 forms. The LLC-1 is the Articles of Organization, which you must submit to the DCCA when establishing your company. This paperwork formally establishes your LLC and contains crucial details about your company. The Annual Report, or LLC-12, is what you must provide every year to keep your company in good standing. This report details the operations of your company and any alterations that have taken place since your previous report.
It can be difficult to close a small business in Hawaii, but it’s crucial to take your time and do it right. You may make sure that your company is lawfully dissolved and that you won’t face any future financial or legal problems by following the above-described processes. Consider engaging with a company attorney or other professional to help you navigate the procedure if you’re uncertain about any step.