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Company Liquidation & Dissolution

Wind down your LATAM entity properly: formally, compliantly, and without lingering liability.

Quick facts

Typical process length

Typically a few months to over a year, depending on jurisdiction, entity type, and outstanding obligations

Closing a company in Latin America is not as simple as stopping operations. Whether you are exiting a market, ending a joint venture, or managing an insolvency, every jurisdiction requires a formal legal process: board and shareholder resolutions, the appointment of a registered liquidator, a creditor notice period, final tax filings, and deregistration with the commercial registry, before an entity is considered legally closed. Skipping or mishandling any step can leave directors and shareholders exposed to ongoing tax assessments, fines, or personal liability long after the business has stopped operating.

NavviPal manages the liquidation and dissolution process end to end, coordinating with local counsel, tax authorities, and the commercial registry in each market so your entity is closed correctly and your obligations are formally discharged.

What's included:

Liquidation strategy and process advisory for your specific entity type and jurisdiction
Appointment and registration of a qualified liquidator to act as the entity's legal representative during wind-down
Preparation of board and shareholder resolutions to approve dissolution
Creditor notification, required public notice, and settlement of outstanding obligations
Inventory and orderly liquidation of company assets
Final tax filings and closure of the entity's tax ID with the local authority
Deregistration with the commercial registry and any sector-specific regulators
Formal closure confirmation and documentation for your records

Frequently asked questions

How long does liquidating a company in Latin America take?

It varies significantly by country and entity complexity, commonly several months from the initial resolution to final deregistration, since most jurisdictions require a mandatory creditor notice period plus final tax clearance before the entity can be formally closed.

Can we just stop operating instead of formally liquidating?

No, not without risk. An entity that stops operating without formal dissolution generally continues accruing filing obligations and potential liability for its directors and shareholders indefinitely, since it legally still exists.

Who is personally liable if liquidation isn't done correctly?

Directors and shareholders can remain exposed to tax assessments, fines, or personal liability after the business has stopped operating if the legal wind-down process wasn't completed properly.

Do we need a registered liquidator?

In most LATAM jurisdictions, yes. A qualified liquidator must be formally appointed and registered to act as the entity's legal representative during the wind-down process.

What's the final step that confirms a company is legally closed?

Deregistration with the commercial registry (and any sector-specific regulator, where applicable), following final tax filings and closure of the entity's tax ID with the local tax authority.

Ready to get started?

Whether you're forming your first LATAM entity or need ongoing compliance and accounting support, NavviPal has you covered.