Businesses terminate or end for a lot of reasons, some close due to personal reasons, financial reasons, bankruptcy and so on. Most business owners will fight through gritted teeth to keep their business from closing, some will even look for other recourse to avoid this from happening. As business owners who started and built the businesses from the ground up, giving up and closing a business are not something taken lightly. As long as there is a way to keep the business afloat or to keep it operating, steadfast business owners will fight to the last to keep their businesses from terminating. For most, this is even a matter of life and death.
However, if things do not go as planned or if circumstances don’t agree with plans, there is no other way but to close. Accordingly, as with the opening of a business, there are procedures to follow when terminating or closing. In Malaysia, since the opening of businesses falls under the mandate of Suruhanjaya Syarikat Malaysia, also called SSM, it follows that the closure and final termination also falls under its umbrella. Here is a step by step procedure in closing or terminating businesses in SSM.
1. Fill out the appropriate form for termination – Regardless of the reason for closure, the first step in closing business with SSM is the basic task of completing a form. This may seem an ordinary form for some but for business owners, this is one of the hardest forms to complete. Despite this, filling out the form needs careful attention to details, lest mistakes are made.
2. For sole proprietorship, once the form is complete, the owner’s signature is the only signature required. For partnerships and corporations, all the partners and the owner’s signatures are required. This will ensure that everyone involved is aware of the decision to close or terminate. This requirement is crucial to avoid any dispute in the future.
3. The appointed representative can submit this form with the corresponding documents in two ways. One is by physically submitting all documents to the main SSM office. The other option is to submit the documents online through SSM’s online portal. Depending on the reason for termination, required documents may vary.
4. Payment of fees – Akin to all business applications and processes, payment of fees is required for filing of termination. When paying for any business-related transaction, only pay through accredited channels. In addition, make sure to keep the receipts after payment for future reference.
5. Wait for the result – If all requirements are submitted in accordance with the set guidelines, the result of the notice can be obtained after fifteen minutes.
Terminating or closing a company is never an easy job, even though you could easily open it with SSM online registration. Opening and maintaining a company is not easy as well but terminating is a whole new level of hard. Closing a business is always a blow financially and even emotionally. For business owners, this can start self-doubts and uncertainties. Thus, to give a business the best chance to survive or even thrive, careful planning and study can help balance the odds and mitigate the uncertainty.