If your Cayman company has naturally reached the end of its life cycle, making an early start to the dissolution process means you will avoid several fees including 2023 annual government, regulatory and service provider fees. Our boots on the ground expertise in Cayman means we are always up to date with key timelines, which can ultimately save companies costs.
If you wish to liquidate a company in Cayman, there are some timelines and deadlines that you need to consider.
The final general meeting for a private company must be held before 31 January 2023 to avoid the 2023 annual fees. The dissolution process takes approximately six to eight weeks to complete and given potential delays at the Registrar of Companies with the December rush, starting the liquidation process by end of September 2022 is advisable.
Reporting Financial Institutions (RFIs)
RFIs have regulatory requirements under FATCA and/or CRS and Ocorian can assist with the FATCA/CRS filings for both 2022 and 2023. Again, we recommend processing these sooner rather than later. The reporting is because there will be filing obligations for both years if the liquidation is not completed by 31 December 2022.
Cayman Islands Monetary Authority (CIMA) registered funds
CIMA registered funds should allow additional time to meet their de-registration obligations. Final audits, distributions and redemptions must be completed prior to commencing liquidation to avoid an extended liquidation timeline. CIMA funds should complete the process with the final general meeting held prior to year-end to avoid 2023 CIMA fees. If dissolution is desired, then this process should start as soon as possible.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.