Le final process dissolution of a company is concluded by the production and publication of latest financial documents. These usually include a closing balance sheet and income statement. Fondation-entreprise-ricard offers you an exhaustive file on the liquidation documents and answers the questions:
The role of a liquidator of a company is to sell its fixed assets and inventory, as well as to pay off its debts. Once these procedures completed, he must record these transactions in the accounts et create final liquidation accounts.
Un final liquidation account is made up at a specific moment of the closing process:
In other words, a final liquidation account takes the form of a accounting balance sheet which takes into account the result of liquidation operations (sale of assets and repayment of liabilities).
The final result of the final closing of the liquidation (profits or losses) is visible during the division of equity. This operation consists of distributing the remaining equity among the partners, according to the terms provided for in the articles of association, or failing that, according to the shares of the share capital.
Le final liquidation account is a final balance sheet. To establish the amount of the liquidation transactions shown therein, it is necessary to record the liquidation transactions in accounting. It is therefore necessary to establish a liquidation income statement. Usually there are:
Le liquidation balance sheet contains, in general, only accounts of Treasury in theactive. Fixed assets may, however, be included if they have been contributed to the company and if the deed of partition provides for their return to the shareholder. As to passive, it is composed of capital social, stocks (legal, statutory, optional, etc.) and result of liquidation operations.
Here's a very final liquidation account template :
Note that receivables, inventories and debts are not included. In addition, total assets (A) must be equal to total liabilities (B). Once the liquidation is complete and the equity is divided, all balance sheet accounts are settled. This means that the positions have a null value (0).
The liquidation accounts, drawn up by the liquidator, are a information resource and a decision tool. They must be approved by the shareholder(s) at the ordinary general meeting. During this session, the shareholder(s) also discharge(s) the liquidator, release(s) him from his mission and note the closing of liquidation activities.
Once the accounts have been validated, the liquidator must transmettre at the registry of the commercial court so that it can proceed with the delisting from the company of the trade and companies register (RCS). This request must be made within the one month deadline after the publication of the legal notice of closure of the liquidation.
If the shareholder(s) refuse(s) to approve the liquidation accounts, the liquidator must still file them with the registry of the commercial court. It is the latter who will then make its decision on the accounts and the closing of the liquidation, in place of the shareholders.
You will also find information on the subject of closure:
A1: A liquidation account is a type of account that liquidates all financial obligations and debts of a business that is being liquidated.
A2: A liquidation account allows a business to pay its debts and transact without having to hold physical assets. It also allows the company to reduce its financial risks and reduce its operating costs.
A3: To activate a liquidation account, the company must deposit a minimum amount with an authorized financial institution and subscribe to a liquidation account contract. The company must also appoint a liquidator who is responsible for the management and liquidation of the assets.
