How Can a Company That Has Been Closed Reopen?

How Can a Company That Has Been Closed Reopen?

The process of reopening a company depends on whether or not it was officially dissolved. If a business wasn't dissolved, owners should contact their state's department of revenue. Owners who officially dissolved their company can reopen it by following the same process as those starting an entirely new business.

Owners should ask the state department of revenue or taxation to find out if any penalties have been placed on their business since it was closed. Some states require previously closed companies to pay franchise tax fees or provide an updated list of company officers and previous board meeting minutes. After settling any unpaid fees, confirm that your company's state tax ID number is still valid.

The next step is to contact the Internal Revenue Service in order to reactive your company's Employer Identification Number. Regardless of the company's status, the EIN is always assigned to the original establishment.

If you are unable to bring back previous tax identification numbers or reactivate your business profile, you can open a new business establishment under your previous name. New tax identification numbers and bylaws are required, however.

After dealing with the legalities, you can then apply for commercial leases, hire employees and open your doors to customers once again.