Can I just give up my company? (part 3)
We now know for sure that we can’t just give up the WOFE and leave, then what’s the best way to shut down it properly?
Technically, anyone does not have enough fund to maintain the company, could file for bankruptcy liquidation with the court based on the PRC bankruptcy laws. However, it seems no WOFE going through this procedure. The only guess is that it would be much more time and fund-consuming and complicated than it appears.
So let’s de-register it with local AIC. Firstly, pay all debts, especially all debts toemployees and to the government. Then you have to go through a long drawn out government audit, which is far more complicated and time consuming (probably one year or even longer) than you could ever think of. Considering this, it’s strongly recommended that you do it earlier and have a sound plan for it (in timing and fund).
Related topics:
Can I just give up my company? (part 1)
Which law can protect you better?