Lisa and the Law

YOUR BUSINESS MAY NOT BE DISSOLVED despite what you think

I just had a client tell me she has only one LLC, when in fact she has four. Her explanation was that she “shut them down” years ago. Unfortunately, she did not file the required paperwork to formally dissolve/terminate her businesses.

Just because you don’t do business any more does not mean that your business is dissolved. Be sure that you check with the Corporation Commission or Secretary of State to verify that your old business has actually been dissolved. If not, you may need to file a Beneficial Ownership Information Report (BOIR) for that business. If the business was formed prior to January 1, 2020, it may meet the six (6) inactive entity requirements and not have to file a BOIR even though it is still in existence.

Related Services: CTA Compliance