Necessary things should do before closing business
What a pity if you need to close your passion in running business. Close it, it's not simply of closing the door, liquidating your stock and walking a way. There still have so much important things that you should know.
- Announce with your employees.
Make sure that, all of the employees know your tough situation that you have to close business. Leaving this news for someone else to decimate is unfair to the people who work for you, but you don't have any more option. You should prepare your feelings to face with many employee's emotions, or sometimes, they will be anger with you.
- Pay all final payroll, tax or compensating contract for employees.
Don't think that IRS will not come to your house after you close the business. Please complete the procedure with tax, IRS can provide you with the information that you need on how to pay your final payroll taxes. So, it's important that you need to have money to pay these taxes. And other payment is relating to the salary of employee. Deal with them, pay whole for them including compensation benefits.
- Notify with your customers
You can write a formal letter or prepare some small gifts for loyal customers and let them know you will close your business. Say "thank you" toward customer's belief in your products or service, don't suddenly shut up shop and walk away, it can create bad feelings that can be detrimental to the image of your business, future businesses and even you personally. If necessary, you also introduce new business for your customers. From the beginning to the end, customer satisfaction is what you want to tell with your customers.
- Complete all needed legal procedures
Depending on the legal structure of your business, you may also need to file a corporate notice that officially states that you are closing. All of needed legal procedure, you can look at business law, then you can simply close your doors. You must also make arrangements to discontinue any benefits such as health and dental insurance, pension plans, and other benefits you have provided to your employees.
- Close your physical location.
To the manufacturing company, it seems to be more complicated when closing your factory than service company which has only office. In the factory, make arrangement with power, water, gas and other utilities to be shut off . You will need to notify the proper authorities in order to cancel your business permit and any other licenses