Document background
A Board Resolution For Dissolution Of Company is a crucial corporate document required when a South African company decides to cease operations and formally dissolve. This document is necessary under the Companies Act 71 of 2008 and must be properly executed to initiate the voluntary winding-up process. It is typically used when a company has achieved its purpose, faces insurmountable financial difficulties, or when shareholders decide to end the business. The resolution must demonstrate that the board has carefully considered alternatives, assessed the company's financial position, and determined that dissolution is the appropriate course of action. It serves as the foundation for all subsequent dissolution procedures and is required by the Companies and Intellectual Property Commission (CIPC) as part of the formal dissolution process.
