Due to a mixture of reasons, businesses fail to meet their purpose and generate the results the investors had when they registered the company
. In specific cases, the businessmen have to face the fact that the business must be closed down
. However, companies
can be closed for less stringent reasons, for example, the investors have lost their interest in operating in that respective field or they want to reinvest their profit into another type of company
. Our team of company formation representatives in Cyprus
can assist businessmen in closing a business down
, following specific regulations imposed by the commercial law.
The company’s profits are low
One of the main trigger that should determine a businessmen to close the company
refers to the company’s profits
. If, for a long period of time (of minimum 5 years), the company
registered low profits
, the investors may choose to shut down the business
. The revenues are an important part of any business, as they are a top indicator on how well the company
performs of the Cypriot market
. Those who want to open a company in Cyprus
should first establish a realistic business plan
that can be followed over the years.
The market saturation
Lack of interest in the field
As mentioned above, a company
does not have to be closed down
only on financial grounds. At times, the investors consider they no longer identify themselves with the respective business field and they may want to register a company in Cyprus
in a different economic sector.
In this sense, the investors can also opt for selling their company or, if they have opened the business with other partners, they may sell the shares owned in the company.