Need to Liquidate Your Company Quickly and Legally?
If you’re a Director of a Company or a Member of a Close Corporation (CC) and you know your business will not be able to pay its debts in the next six months, you are legally obligated to liquidate the entity. Continuing to trade while insolvent is not just irresponsible—it’s a criminal offense.


Types of Business Liquidation
There are two legal routes:
Voluntary Liquidation
– All directors or members agree the business is financially distressed.
– A special resolution is passed to begin the liquidation process.
– This is faster, simpler, and more cost-effective.
Compulsory Liquidation
– Initiated by a creditor through a court application.
– Often leads to prolonged legal disputes and increased costs.
What Happens During Liquidation?
Once the process is complete, the company no longer exists—its affairs are fully resolved, and you are free to move on without lingering financial baggage.