When Should You Close Your Business?

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Reasons to Close a Business

  • Running a loss.
  • Declining health.
  • Suffering relationships or family.

Signs It’s Time to Let Go

  • Different ways to make it work but it never does.
  • Trying to justify the negative.
  • Losing time, energy, and motivation.

Ways to Shut Down a Business

  1. Letting employees know before they read about it.
  2. Treating staff with compassion and respect.
  3. Determining fate of unfinished projects.

When to Shut Down a Business

  • Financial Struggles: When the business owes more than it’s worth.
  • Overwhelming Debts: When creditor pressure becomes too much.

Knowing When to Close

  • Inability to attain milestones.
  • Price is less than average variable cost.

Process for Closing a Business Account

  • Apply to Companies House with Form DS01.
  • Remove company from the official register.
  • Plan a closing strategy with deadlines.

Relaunching a Closed Business

  • Consider as a startup if closed for longer period or filed bankruptcy.

Transferring Business Accounts

  • Discuss terms with the new provider.
  • Transfer all existing autopay and subscriptions.
  • Close account with Microsoft to delete all related information.

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