A liquidation procedure

This page provides information on how to close down a buisness in Slovenia.  The liquidation procedure can be proposed by a person or authority that adopts the decision on the termination of a legal entity (the company can be terminated by a court decision). Liquidation can be voluntary or compulsory.

Voluntary liquidation is a decision made by the owners or company members, and is executed according to the Companies Act.

Compulsory liquidation is implemented upon a court decision on liquidation and is executed according to the Compulsory Composition, Bankruptcy and Liquidation Act.

Liquidators who are appointed by the company members or the court, must close the current business, recover all receivables and cash in the remaining estate and repay all creditors. New trading can be conducted in order to conclude unfinished trading. When the liquidation has been completed, the liquidators are obliged to file a petition for the deletion of the company from the Companies Register.

Creditors report their receivables to the liquidators, who proportionally distribute receivables among all reported creditors in the final liquidation procedure.

Receivables that are not reported before the deadline of the liquidation of the estate are settled after the liquidation procedure has been concluded. In this case, the remaining liquidated estate is paid after the main distribution, i.e. to the amount of the value of the acquired estate.

The Companies Act specifies the liquidation procedure for public limited companies; however, this part also applies to limited partnerships with share capital and limited liability companies.

If conditions for bankruptcy are established, the liquidation procedure is not implemented.