In short
The short answer
- Solvent companies with no debts may apply to ASIC for deregistration, or be wound up by their members with a registered liquidator appointed.
- Insolvent companies are wound up through a creditors voluntary liquidation, carried out by a registered liquidator.
- Australian Financial Advisory assesses which path applies, explains your duties, sets out the options in writing, and introduces a registered liquidator where one is required. We do not carry out the closure ourselves.
The paths
Ways a company can be closed
Deregistration (solvent, no debts)
A company that has stopped trading and has no outstanding liabilities may be able to apply to ASIC for voluntary deregistration, provided it meets ASIC’s requirements.
Members voluntary liquidation (solvent)
A solvent company can be wound up by its members. A registered liquidator is appointed to realise the assets, pay any remaining creditors and distribute the balance to members.
Creditors voluntary liquidation (insolvent)
An insolvent company is wound up through a registered liquidator, who realises the assets, investigates the company’s affairs and distributes available funds to creditors in the order the law sets out.
Director duties
Directors have a duty to prevent insolvent trading. Certain unpaid company tax debts can become a director’s personal liability through a Director Penalty Notice.
Why it matters
Why closing a company properly matters
Improper closure can leave a director exposed to ongoing liabilities, tax issues and regulatory problems. Understanding the correct path, and your obligations, before you act is the point of the first conversation.
- Understand which closure path applies to your company
- Understand your duties as a director before you act
- Understand what a registered liquidator does and when one is required
- Receive the options in writing before any formal step
Director Penalty Notices and company closure
A Director Penalty Notice can make a director personally liable for certain unpaid company tax debts, and closing the company does not always remove that liability. Getting advice early matters.
Our role
What Australian Financial Advisory can and cannot do
We can
- Assess whether your company can be deregistered or must be wound up.
- Explain your duties as a director and what a liquidator does.
- Set out the options and recommended next steps in writing.
- Introduce a registered liquidator from our network where one is required.
We do not
- Deregister the company or act as its liquidator.
- Give legal or tax advice. Those matters are referred to appropriately licensed professionals.
- Promise a particular outcome. Outcomes vary case by case.
Common questions
Company closure questions
Can I just stop trading and walk away from the company?
A company continues to exist, with its directors’ duties and its debts, until it is deregistered or wound up. Stopping trading does not by itself end those obligations. Understanding the correct path before you act is the point of the first conversation.
Does Australian Financial Advisory close the company for me?
No. Deregistration is an ASIC process and a liquidation is carried out by a registered liquidator. We assess your position, explain which path applies, set out the options in writing, and introduce a registered liquidator where one is required.
Do you charge for the first conversation?
No, the initial consultation is free.
The information on this page is general in nature and does not constitute legal, financial, taxation, or insolvency advice. Australian Financial Advisory Pty Ltd provides assessment and advisory services only. All specialist services are referred to appropriately licensed partners. You should seek independent professional advice before acting on any information on this page.
Content last updated: 2 October 2026.
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- A confidential first conversation to understand your situation and confirm whether we can help.
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- Any next step is your decision. We don't push a particular outcome.