Dissolution

With increasing sensitivity being paid to the effective termination of companies and liquidation costs, our clients have been pleased that dms Corporate Services Ltd. (DCSL) is able to deliver professional liquidation and strike-off services in a timely manner and at a competitive price. DCSL has a qualified liquidation team who provides efficient and cost-effective services to ensure that the proper procedures are executed when winding-up a company.

Our services include:

Voluntary Liquidation
DCSL provides step-by-step management and guidance throughout the liquidation process, minimizing our clients' management time, from the initial announcement of intention to wind-up a company until the company is deemed formally dissolved by the Registrar of Companies (RoC). Our in-depth expertise guarantees our clients an orderly wind-up process in accordance with Cayman Islands' laws and regulations. Our liquidation process also ensures that:

• directors and shareholders follow all the appropriate steps necessary to place the company in liquidation;
• shareholders are presented with all the necessary information for their approval;
• appropriate creditor notifications are made providing shareholders with the opportunity to submit claims; and
• all appropriate documents are presented to the regulatory authorities in a timely manner.

Click here to review Voluntary Liquidation Update

Strike-Off
While the liquidation method of terminating a company is preferred, an alternative to the appointment of a liquidator for dissolution of a company is that a company may be struck by simply applying to the RoC for it to be removed from the register. This, however, does not deal with companies that have liabilities to creditors, or with elaborate transactions or valuable assets. Assets held by a company that are struc- off will pass consequently to the Crown as property without an apparent owner or claimant. 

Additionally, in cases where there are discontented creditors or members, a company may apply to the RoC for up to two years after the striking-off to have the company restored to the register. The Governor may permit an extension of 10 years if the court feels that it is right to do so. The striking-off process, therefore, does not resolve creditors' options in the way that a properly-executed liquidation process would. As in this case, the creditors who wish to challenge distributions made to the shareholders prior to liquidation, may be able to raise claims well after the striking-off.