Oklahoma Plan of Liquidation and Dissolution of a Corporation

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Multi-State
Control #:
US-0076BG
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Description

Dissolution is the act of bringing to an end. It is the act of rendering a legal proceeding null, or changing its character. Under corporate law, it is the last stage of liquidation. Dissolution is the process by which a company is brought to an end.



Liquidation is the selling of the assets of a business, paying bills and dividing the remainder among shareholders, partners or other investors. A business need not be insolvent to liquidate. Upon liquidation of certain business, such as a bank, a bond may be required to be posted to assure the proper distribution of assets to creditors.

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FAQ

6 Steps to Dissolve a Corporation #1 ? Seek Approval from the Board of Directors and Shareholders. First, hold a meeting with the board of directors. ... #2 ? File Articles of Dissolution. ... #3 ? Finalize Taxes. ... #4 ? Notify Creditors. ... #5 ? Liquidate and Distribute Assets. ... #6 ? Wrap Up Operations.

Dissolution is the process where a solute in gaseous, liquid, or solid phase dissolves in a solvent to form a solution. Solubility. Solubility is the maximum concentration of a solute that can dissolve in a solvent at a given temperature. At the maximum concentration of solute, the solution is said to be saturated.

Voting to Dissolve the Business These commonly require a formal vote at a meeting of the board of directors. The vote must be recorded in the meeting minutes. If you have shareholders, you may also need majority shareholder approval to dissolve the business. In most cases, at least a two-thirds vote is required.

The first is voluntary dissolution, which is an elective decision to dissolve the entity. A second is involuntary dissolution, which occurs upon the happening of statute-specific events such as a failure to pay taxes. Last, a corporation may be dissolved judicially, either by shareholder or creditor lawsuit.

Dissolution. The first step to closing up shop is receiving shareholder approval to formally close the corporation. The board of directors should adopt a resolution to dissolve the corporation and receive approval for the action.

This is a formal process for closing and if followed, should provide some protection for the owners of the company. Written Resolution. ... Pay creditors. ... Distribute to Members. ... Complete Articles of Dissolution. ... File with Secretary of State. ... File with Oklahoma Tax Commission. ... File with IRS. ... Unemployment Authority.

To dissolve your corporation in Oklahoma, you submit the completed Oklahoma Certificate of Dissolution form by mail, in person or by fax to the Secretary of State along with the filing fee.

A plan of dissolution is a written description of how an entity intends to dissolve, or officially and formally close the business. A plan of dissolution will include a description of how any remaining assets and liabilities will be distributed.

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Oklahoma Plan of Liquidation and Dissolution of a Corporation