Nebraska Liquidation Proposal
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FAQ
A partnership can be dissolved or liquidated to legally terminate. A dissolution occurs when partners change, but the partnership continues operations. A liquidation occurs when the business ceases to exist.
No, a company is not dissolved after liquidation. Dissolving a company and liquidating it are two separate procedures. Liquidating a company means selling off its assets to claimants whereas dissolving a company is deregistering it.
First, file a Statement of Intent to Dissolve. The Nebraska Secretary of State (SOS) requires duplicate originals. The SOS will determine whether the LLC is current on all fees and taxes, if so, they will send the duplicate original back to the company.
Once a company is dissolved, it no longer exists as a legal entity and cannot conduct business or enter into contracts. Dissolution may also trigger a number of certain legal obligations, such as the distribution of remaining assets to creditors or shareholders. It also might involve the filing of final tax returns.
Simply put, a dissolution is a (typically) voluntary legal closure of a business while a liquidation involves the selling of a company's assets in order to pay creditors.
