Liquidation of a legal entity in Moldova
Liquidation of a legal entity in Moldova is
a painstaking and legally regulated process, preceded by a comprehensive tax audit and lasting on average seven months. This process is a whole set of measures and actions governed by the jurisdiction in which the organization operates. In this article, we will outline the path that founders planning to liquidate a business in Moldova need to go through.

Legal basis

The legal infrastructure of Moldova for the liquidation of companies is based on two cornerstone laws: the Civil Code of the Republic and the Economic Code. These documents contain all the rules dictating the termination of the activities of legal entities. These legal codes cover key aspects that are critical to the liquidation process:

  • Notification of creditors: this process has the most stringent procedural requirements (a 15-day period for notification itself, followed by a 2-4 month period for creditors to file claims).
  • The liquidation process starts with valuing the assets, which is an important step.
  • Selection of liquidation method: the choice of method and timing of liquidation is a strategic decision and affects the duration, composition, and tools of the procedure.

Basic action plan for liquidating a company in Moldova

Step 1

Initiation of the procedure

  • The corresponding decision made by the highest echelons of the company - the board of directors or shareholders, means the beginning of the liquidation process.
Step 2

Appointment of a liquidator

  • The appointment of a liquidator is critical. It is the responsibility of the individual or professional body to manage the dissolution process. Their role is to methodically collect and distribute the company's assets.
Step 3

Notify creditors

  • The dissolution of the company takes place after formal notification of creditors. The decision, stated in the Official Gazette of Moldova, gives creditors a grace period of 2 to 4 months to present their claims in accordance with the legal provisions.
Step 4

Inventory and valuation

  • The inventory of the company's assets and liabilities is carefully compiled. This involves valuing and categorizing assets for fair distribution among stakeholders.
Step 5

Formation of the final liquidation balance sheet

  • The company's assets are a source for repaying outstanding debts and liabilities. Secured creditors have priority in the distribution of proceeds, satisfying their claims before others become involved.
Step 6

Formal dissolution

  • The decision, formalized through an application, is submitted to the relevant government authorities. In some cases, a notice of dissolution is published in a community newspaper.
Step 7

Final steps

  • The final steps include canceling the licenses, permits and registrations that control the organization's activities. Detailed records of the liquidation process are retained for legal compliance and for future reference, culminating in the liquidator submitting a final report to regulatory authorities.
From the above, it follows that quick liquidation of a company in Moldova is still impossible. For those looking for a more profitable path, the optimal solution is to sell a share of the company. This path includes a strategic sequence of actions, from decision to agreement, skillfully organized by specialists for rapid execution.

Our company’s specialists effectively organize the process of quickly selling a company’s share in Moldova in just four stages:

  1. decision to sell the share with a change of manager;
  2. registration of a notarial agreement on the sale of a share in the authorized capital;
  3. decision to register the transaction with the Public Services Agency;
  4. acceptance of company documents with changes in the composition of the founders.
At the same time, clients are provided with draft decisions and contracts. If necessary, they are developed jointly with a local notary.

Legal support of the process of liquidation of a company in Moldova

In this difficult road of dissolution of a corporation, legal support becomes a guiding beacon. The liquidation process is complex, and a mistake can have far-reaching consequences.

When a business owner decides to proceed with the liquidation of a company in Moldova, the first step is usually to enter into an agreement outlining the terms of the liquidation services, often accompanied by a confidentiality agreement. To go through the liquidation procedure, a power of attorney is issued to a representative of a reputable company with experience in this field.

Our company's role goes beyond mere management. We offer a range of services that facilitate the smooth closure of a business abroad. These services include

  • Liquidation and closure advice: our experience helps clients make informed decisions regarding the most effective and appropriate method of liquidation.
  • Re-registration support: we help in re-registering a business abroad, which is an important step in the transformation process.
  • Preparation of legal documents: our team carefully prepares all necessary legal documents for liquidation, deregistration with government agencies and closure of bank accounts.
  • Coordination and support: we navigate the complex network of stakeholders involved in the liquidation process, ensuring a harmonious conclusion.
  • Post-dissolution operations: our support does not end with dissolution. We offer guidance through post-liquidation operations, ensuring a smooth transition.

In conclusion, we note that the liquidation of a legal entity in Moldova, according to the law, is a formal process that ends with the closure of the company. All assets are carefully distributed to satisfy the claims of creditors, and the enterprise ceases to exist as a legal entity. Our experienced experts have many years of experience in the suspension, liquidation or re-registration of businesses in various countries. We provide comprehensive advice on company liquidation, including the corporate aspects of liquidation, and offer assistance in company reorganization, whether through mergers, acquisitions or conversions.

For further advice and to begin the process of dissolving a corporation, please contact us using the contact information provided on our website.

Tags: Moldova
Service order form
The field must be filled
How can we contact you?*
Please enter a valid e-mail
Please enter a valid phone number
Your comment