To dissolve an LLC in Maryland:
- Follow operating agreement
- Obtain written consent of all members
- Draft a resolution to dissolve
- Cancel licenses and permits
- Notify creditors
- Distribute assets
- Close tax accounts
Addressing Debts and Assets
The next step is to assess debts and liabilities. This involves reviewing records and contacting creditors to arrange payment or negotiate balances. Once settled, remaining assets can be liquidated.
It normally takes the Maryland SDAT up to 8 weeks to process a dissolution filing, or 7 business days with the $50 expedited fee.
Process for Members
If you have multiple members, a vote is required to approve dissolution based on the procedure in the operating agreement. Provide notice of the meeting so members can vote.
You can dissolve with pending lawsuits. Consult a tax professional to ensure compliance. A dissolved business legally no longer exists, with legal consequences different for each state.
In Maryland, first file Articles of Dissolution with the State Department of Assessments and Taxation. You may submit by mail, fax, or in person.
Dissolving a nonprofit in Maryland involves:
- Convening a board meeting to authorize dissolution
- Reviewing bylaws for procedures
- Filing Articles of Dissolution
Seek guidance from legal professionals experienced in nonprofit law to navigate accurately.
Cost of Dissolution
How much does it cost to dissolve a business in Maryland?
Final Steps
The final step is closing all accounts and canceling licenses and permits. This includes shutting bank accounts and financial accounts. The LLC is then officially dissolved.