What Are Some Ways To Dissolve a Business in Oklahoma

Trying to dissolve a business in Oklahoma involves several steps to ensure you complete the process legally and efficiently. The method of dissolution depends on the type of business entity, such as a corporation, limited liability company, or partnership.

Dissolve a Business Corporation

The board of directors must adopt a resolution to dissolve the corporation, which outlines the reasons for dissolution as well as propose a plan for winding up the corporation’s affairs. Present the resolution to the shareholders for approval. Typically, a majority vote is required to approve the dissolution.

File the Articles of Dissolution with the Oklahoma Secretary of State. This document officially notifies the state that the corporation is being dissolved. Fill out the required form, including information about the corporation, the resolution, and the effective date of dissolution.

Notify creditors and other stakeholders of the dissolution by publishing a notice in a local newspaper and directly notifying known creditors. Pay off debts and settle any outstanding claims against the corporation. Afterwards, distribute any remaining assets to shareholders according to their ownership interests.

Dissolving a Limited Liability Company (LLC)

Obtain consent from the members of the LLC to dissolve the business. The operating agreement often outlines the required procedures and voting thresholds for dissolution. File the Articles of Dissolution with the Oklahoma Secretary of State to officially notify the state of the LLC’s intent to dissolve. Fill out the required form with information about the LLC, the dissolution resolution, as well as the effective date of dissolution.

Notify creditors and other stakeholders of the dissolution by publishing a notice in a local newspaper and directly notifying known creditors. Pay off debts and settle any outstanding claims against the LLC and distribute any remaining assets to members according to both their ownership interests and the terms of the operating agreement.

Dissolving a Partnership

The partnership agreement usually outlines the procedure and requirements for dissolution, but partners must mutually agree to dissolve the partnership. File a Statement of Dissolution with the Oklahoma Secretary of State to officially notify the state of the partnership’s intent to dissolve.

Notify creditors and other stakeholders of the dissolution by publishing a notice in a local newspaper and directly notifying known creditors. Pay off debts and settle any outstanding claims against the partnership, then distribute any remaining assets to partners according to their ownership interests and the terms of the partnership agreement.

General Considerations for Dissolution

Regardless of what type of business you’re trying to dissolve, there are a few things you should keep in mind. Begin wrapping up all business operations, including fulfilling existing contracts, terminating leases, and canceling business licenses and permits. File final federal, state, and local tax returns for the business. Ensure you settle all payroll taxes, sales taxes, and other obligations.

Notify employees of the dissolution, provide required notices, and ensure employee benefits, such as retirement benefits, are properly handled. Keep important business records, such as financial statements, tax returns, and legal documents, for the legally required period.

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Tulsa Business Lawyers

Dissolving a business in Oklahoma involves several steps but may vary depending on what type of business you’re dissolving. By consulting with a business law attorney, you can ensure that the dissolution process complies with all legal requirements. Kania Law Office has extensive experience handling business law cases. Contact us at (918) 743-2233 or online for help.