How do I close an LLC in Utah?

How to Dissolve a Limited Liability Company (LLC) in Utah

1. Hold a meeting of members and pass a resolution to dissolve the company.
2. File the annual and other required reports with the state agency.
3. Pay off all the outstanding business debts of the company.
4. Pay all the outstanding taxes and fees owed by the company.

How much does it cost to dissolve an LLC in Utah?

There is no filing fee to file the Articles of Dissolution of Limited Liability Company form in Utah. You may request expedited service for $75.

What happens to assets when an LLC is dissolved?

Unless dissolved, your California LLC will continue to be liable for state fees, it will continue to be open to incurring more debts, it will continue to own the assets under its name, and you won’t be able to sell those assets as your own.

How do you close out an LLC?

Steps to Closing Your LLC

1. Agree to Dissolve. The first step to close an LLC is to make the formal decision to do so.
2. Make It Official.
3. Give Notice.
4. Wrap up the Finances.
5. Complete Your Taxes.
6. Close Things Down.
7. Divvy It Up.

How are LLC taxed in Utah?

Utah LLC owners pay self-employment tax on business profits. Utah LLC owners pay UT state tax on any profits, less state allowances or deductions. All LLC owners pay federal income tax on any profits less federal allowances or deductions. Some LLCs pay Utah sales tax on products.

Can I change the name of my LLC in Utah?

You can make changes to the business name, the business character, the management structure and the period of duration. You can’t change your registered agent or your business address in articles of amendment. Those changes require the Limited Liability Company Registration Information Change Form.

How much does it cost to register a business name in Utah?

How much does it cost to register a business in Utah? The fee to register your business using the Utah OneStop Business Registration portal is between $22 and $52, depending on your business type.

How much does it cost to register a business in Utah?

The State does have a “one-stop” online business registration site to help facilitate the process. The fee collected on the site is the filing fee for the Utah Department of Commerce, Division of Corporations and Commercial Code. That fee ranges from $22 to $52 and is non-refundable. The cost for incorporation is $70.

Who owns the assets in an LLC?

LLC Property When members join an LLC, they provide contributions of cash or property to the LLC. The property becomes the business’s property. The LLC is the owner and the LLC property can be used to satisfy the debts and obligations of the business’s creditors.

How do I close an LLC for free?

Submit the certificate of cancellation to the California SOS by mail or in person. The cancellation forms are available on the SOS website and can be filled in online then printed out. You may type on the forms or write in black or blue ink. Checks should be payable to the Secretary of State.

What happens to the remaining assets of a LLC?

Distribute the remaining assets to the LLC’s members according to the percentage of ownership. For example, a 5 percent member should receive 5 percent of the remaining assets. File articles of dissolution with the appropriate state’s Secretary of State.

When does a LLC have to be dissolved?

If the LLC is insolvent (i.e. the debts exceed the assets) and if there are no assets distributed to the LLC owners, then their is no personal assets which a creditor can pursue against the LLC owners. Second, dissolve the LLC once business operations have ceased and once known creditors have been paid or otherwise resolved.

Why is the sale of a LLC interest so complicated?

One reason the sale of LLC interests is so complicated is that a member’s basis in an LLC interest changes so frequently. The amount that Adam pays for the units is only the starting point, and adjustments have to be taken into account to determine Adam’s basis.

How are assets split when closing a business?

If there isn’t sufficient cash to pay each owner the amount in the capital account, as is likely, whatever cash or assets that remain are split among the owners based on the relative size of each owner’s capital account. When all is said and done, be sure to close out your business bank account and cancel your business credit cards.

How to do a sale of a LLC?

To sell your LLC, follow these steps: 1 Figure out a realistic price range. 2 Know your tax consequences. 3 Make your business look good in preparation for a sale. 4 Look for potential buyers. 5 Negotiate a deal. 6 Complete a sales agreement. 7 Plan for closing. 8 File necessary paperwork with the IRS.

Can a LLC distribute assets to the owners?

Don’t distribute assets to owners if debts aren’t paid. State law prohibits a corporation, LLC, or partnership from distributing its assets to the owners if the company cannot pay all of its debts. Not only are there penalties for doing so, but unpaid creditors can sue for the return of the assets from the owners.

If there isn’t sufficient cash to pay each owner the amount in the capital account, as is likely, whatever cash or assets that remain are split among the owners based on the relative size of each owner’s capital account. When all is said and done, be sure to close out your business bank account and cancel your business credit cards.

Can a business owner buy out a LLC?

Unlike the valuation of the business for buying out an LLC member, your operating agreement does not require a specific business valuation method or process for selling an LLC. In that sense, you are on your own to find a buyer and agree on a price. Your buyer may want to purchase the entire business or only its assets.