Closing a Private Limited Company in India requires adherence to legal formalities laid down under the Companies Act, 2013. Whether due to business closure, restructuring, or insolvency, proper closure ensures no future liabilities and compliance with government regulations.
🌐 Official Government Website: MCA.gov.in – Ministry of Corporate Affairs 🏛️
📘 1. Introduction
Closing a Private Limited Company is a legal process involving multiple approvals, filings, and clearances. It protects directors and shareholders from ongoing responsibilities and liabilities, and ensures a clean exit from the corporate registry.
🛂 2. Types of Closure Methods (Licenses/Registrations Affected)
a. 📝 Voluntary Striking Off (Form STK-2)
For companies that have not commenced business or have been inactive for 2 or more years.
b. ⚖️ Voluntary Winding Up
If the company is solvent and the members pass a special resolution.
c. 🚫 Compulsory Strike Off
By ROC due to non-compliance such as failure to file statutory documents.
🧑💼 3. Who Needs These Services?
- Business owners wishing to close an inactive Private Limited Company
- Companies facing insolvency or losses
- Firms restructuring into other business forms (e.g., LLP)
- Directors who want to avoid future penalties or liabilities
🧑⚖️ 4. Why Choose a License Registration Service Provider?
- ✅ Professional drafting of resolutions and affidavits
- ✅ Expert filing of forms (STK-2, GNL-2, MGT-14) with MCA
- ✅ Guidance on tax clearances & NOCs from authorities
- ✅ Assistance in closing GST, PAN, bank accounts properly
- ✅ Avoid procedural errors & delays
⚙️ 5. Registration (Closure) Process
Step 1: Board Meeting
Pass a resolution to initiate closure and authorize a director.
Step 2: Prepare Documents
Affidavits, indemnity bonds, financial statements, and ITRs.
Step 3: File Form STK-2 with MCA
Upload all supporting documents along with the prescribed fee.
Step 4: Public Notice by ROC
ROC publishes notice inviting objections within 30 days.
Step 5: Final Strike Off
If no objection, ROC strikes off the company from the register.
📎 6. Required Documents
- Special resolution (MGT-14)
- Affidavits and indemnity bond by directors
- Audited financial statements (not older than 30 days)
- ITR acknowledgement
- Proof of closure of bank accounts, GST, and PAN
- Digital signatures of authorized signatories
💸 7. Cost Involved
| Expense | Government Fee (₹) | Professional Fee (₹) |
| Filing Form STK-2 with MCA | ₹10,000 | ₹4,000 – ₹10,000 |
| Legal Documentation & Notarization | ₹1,000 – ₹2,000 | Varies |
| CA Certification (If applicable) | ₹2,000 – ₹5,000 | Varies |
⏳ 8. Time Taken
| Stage | Duration |
| Document preparation | 3–7 working days |
| Filing & ROC review | 15–30 working days |
| Objection period & Strike Off | 45–60 days |
❌ 9. Common Mistakes to Avoid
- Missing closure of GST and PAN registrations
- Filing incomplete or outdated financials
- Not submitting MGT-14 with ROC
- Incorrect or unsigned affidavits
- Failing to notify all stakeholders and creditors
📞 10. Call-to-Action (CTA)
Need help closing your Private Limited Company?
📧 Email: opriyatrendingpvtltd@gmail.com
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🌐 Website: opriyatrending.in
Get expert legal support and end-to-end assistance at affordable prices!
❓ 11. FAQs
Q1. Can I close my Private Limited Company via STK-2 if it’s inactive?
Yes, if the company has not started operations or has been dormant for 2+ years.
Q2. Is CA approval mandatory for closure?
While not mandatory for all closures, CA help is recommended for auditing and certifying accounts.
Q3. What happens if there are objections during public notice?
The closure process may be delayed or rejected; you must resolve objections first.
Q4. Can I reverse closure after the company is struck off?
No, reinstatement requires a court order, which is a complex and lengthy process.
Q5. How to ensure smooth closure?
Hire professionals to guide through legal formalities, documentation, and ROC filings.
