Like any other business entity, the legal process of officially dissolving an LLC must go through appropriate measures that vary in different states. Failure to accomplish specified procedures will incur an additional fee and administrative cases.
But worry not, because our team will guide you on how to dissolve an LLC in Nevada. You can close your company without any hassle.
How to Dissolve an LLC in Nevada?
What Does a Dissolution of an LLC in Nevada Entail?
Successfully filing articles of dissolution means that the state of Nevada will not consider your business active. Through this, you’re no longer required to comply with all the legal obligations of other LLCs, like the annual report, tax filing, and any yearly fee.
Upon the closure of your Nevada limited liability company, your business name will be immediately made available for entrepreneurs who want to form their own corporation in the state. So if you intend to continue operations in the future with the same trade name, our team discourages you from filing for voluntary dissolution.
Steps in LLC Dissolution
Like any other state allowing the dissolution of a limited liability company, dissolving a business registered in Nevada can go through different processes depending on your company’s situation. Aside from voluntarily submitting articles of dissolution, an LLC may be dissolved at the discretion of the secretary of state’s office or court order.
If your business fails to comply with legal procedures required by the law, this decree will oblige your company to pay penalties and submit necessary reports to resume operation.
On the other hand, the formal processing of dissolution is a different story. From meeting and voting of LLC members, distribution of assets, up to the submitting of documents — a Nevada LLC must execute these steps following the operating agreement.
Winding up a Nevada LLC is usually handled by some LLC members or an assigned manager to settle final matters after the dissolution has been filed.
Before paying capital contributions and distributing remaining assets among members, the manager must collectively pay an LLC’s outstanding taxes, manage debts to creditors, and prepare statement filings on behalf of the company.
As a dissolved LLC, we also advise you to deal with lawsuits and other disputes even within the members during this process to avoid any further delays.
Convene LLC Members
The most crucial step on how to dissolve an LLC in Nevada is getting an affirmative vote from the LLC members. In accordance with the law, a meeting must be held to give every member a chance to vote in favor or against the resolution.
Dissolving a business may only occur if the majority has agreed to submit the articles of dissolution to the secretary of state. This process must be done following the operating agreement, and every detail must be filed in a document for corporation records.
File Articles of Dissolution to the Secretary of State
After the member voting has been finalized, it’s now time for your business to file articles of dissolution to the Nevada secretary of state.
Submitted articles must have necessary business information such as name, statement of liabilities and assets, and clearance from any LLC-related lawsuits. To ensure you didn’t miss anything, we advise you to check the complete list of requirements on their website .
As a registered business in Nevada, you aren’t required to obtain tax clearance from the Department of Taxation when you file articles of dissolution. And if your LLC is operating in other states, you must file an additional termination form. Otherwise, your business will continue to be liable for legal obligations like franchise taxes and annual reports.
How much does it cost to dissolve an LLC in Nevada?
To dissolve an LLC in Nevada, a business is required to pay $100 for the filing fee. If you want your order to be expedited within 24 hours, you can pay an additional $125 fee. Your filings can also be processed and completed as fast as one to two hours, which will cost you $500 to $1,000.
Properly closing your LLC allows you to form a new business venture without any hassle. And now that you’re familiar with all the procedures on how to dissolve an LLC in Nevada, you can confidently make an informed decision to avoid bumping through business disputes that could cause delays.
Should you find yourself still overwhelmed with all the steps to be taken, you can always seek professional assistance or let your registered agent manage the dissolution.