For companies with a lower level of retained profits and straightforward business affairs, voluntary dissolution, also known as voluntary strike-off, provides a more suitable alternative.
Voluntary strike-off is an inexpensive way to close a company yourself, costing only £10. In this case, you wind down the business’s affairs yourself and apply to Companies House to have the company removed from the register.
Profits are extracted by way of a dividend in this case, or via your director’s salary. If you have substantial retained profits, however, it’s important to note that this is far less tax efficient than the Members’ Voluntary Liquidation process.