What Is a Company Strike-Off and How Does It Work?

Strike-off (also known as dissolving a company) is the process of removing a company from the register at Companies House so that it legally ceases to exist.

To apply for strike-off, the company must meet certain conditions during the previous three months. It must not have:

• traded or carried on business;
• changed its name;
• entered into liquidation; or
• made arrangements with creditors (e.g. a Company Voluntary Arrangement).

Before applying, the company must:

• notify all relevant parties, including shareholders, creditors, employees, and pension managers;
• submit any outstanding accounts and Corporation Tax returns to HM Revenue & Customs;
• settle all liabilities; and
• distribute any remaining assets to shareholders.

If assets are not distributed before dissolution, they may pass to the Crown as bona vacantia.

After the strike-off application is submitted, a notice will be published in The Gazette. If no objections are raised, the company will normally be removed from the register after around two months.