Winding up a Company

A Petition for Winding up of the company may be presented either by the company itself, a creditor/shareholder of the company, or the Liquidator if: -

  1. The company is unable to pay its debts.
  2. At a general meeting at least 75% of the shareholders approve a decision to wind up the company.
  3. The company has defaulted in delivering its statutory report to the Registrar of Companies or in holding its statutory meeting.
  4. The company does not commence business within one year from its incorporation or suspends businessfor a whole year.
  5. The directors have acted contrary to the interests of the shareholders of the company.
  6. The number of shareholders of the company is less than two (except where the shares are wholly owned by another company).
  7. When the period of existence of the company fixed by the Memorandum or Articles expires or an event occurs which is a ground for dissolution under its Memorandum or Articles.
  8. It is just and equitable to wind up the company.
  9. The company is being used for unlawful purposes.