How Do I Close My LLC Business in Illinois?

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Closing Steps for Dissolving an LLC

  1. Pay Off Debts and Liabilities:

    • Pay all LLC liabilities, debts, and obligations.
    • Notify all the LLC’s creditors of its dissolution.
    • Sell any remaining inventory, property, assets.

  2. Legal Formalities:

    • Convene a meeting and record LLC members’ decision to dissolve.
    • File Articles of Dissolution (Form LLC 35-15 Statement of Termination) with the state in duplicate.
    • File final tax returns and terminate your EIN to close the tax account.
    • Clear administrative fees and taxes.
    • Submit required documents to the Secretary of State.

Illinois LLC Dissolution Process

To dissolve an LLC in Illinois:

  1. Vote to Dissolve:

    • LLC owners must vote to dissolve.
    • Draft a resolution to dissolve.

  2. Financial Obligations:

    • Cancel licenses and permits.
    • Resolve outstanding tax and financial obligations.

  3. Document Filing:

    • File Articles of Dissolution with the Secretary of State.
    • Submit a Certificate of Good Standing.
    • Pay filing fees.

Importance of Proper Dissolution

  • Protect yourself from liability and withdraw remaining assets by properly dissolving.
  • Dissolving an LLC protects personal assets from business debts and liabilities.

Closing an LLC Checklist

  1. Vote on the Closure:

    • Hold a formal meeting with all LLC members.

  2. Financial Responsibilities:

    • Notify creditors prior to dissolving.
    • File Articles of Dissolution with the Secretary of State.
    • Resolve outstanding tax and financial obligations.
    • Pay off debts and divide assets according to your ownership structure.

  3. Legal Requirements:

    • Notify state agencies and the IRS about the closure.
    • File your final tax return for the LLC.

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