There are many reasons why it might become necessary to dissolve an LLC. It could be that the stated duration of the LLC has been reached or an event has occurred which requires dissolution. Whatever the reason, the members have agreed that the time has come – but what actually needs to be done?
Wrap up the actual business
Before doing any of the required paperwork, the LLC needs to stop doing business. This means ceasing all operations which aren’t required to dissolve it. This includes things like paying off creditors or collecting money owed to the LLC.
Get a Certificate of Account Status
This is required by Texas law in order to dissolve most business types, including an LLC. It’s issued by the Texas Comptroller of Public Accounts and is used by the Secretary of State to confirm that the LLC is up to date on its taxes. You can request the Certificate of Account Status by filling out Form 05-359 and submitting it to the Comptroller.
File your termination
Fill out your Certificate of Account Status, indicating your intent to dissolve the LLC. Then submit it to the Secretary of State. There will be a $40 fee associated with your filing, which must also be submitted.
It usually takes a few days for the Secretary of State to respond to your termination request. But assuming your paperwork is in order and you’ve attached the necessary fee, you should receive confirmation of your termination shortly. Once approved, your LLC will officially dissolve on the date selected by you and approved by the Secretary of State.