Dissolution
Dissolution is not an formal insolvency procedure but refers to Section 652A of the Companies Act 1985 which allows the removal of a company from the register at Companies House when it has become dormant.

Dissolution is infrequently used as it is only permitted under certain specific circumstances. Creditors must be notified of the intention to dissolve the company and can reject the application if they see fit.

It is not an alternative to liquidation as any interested parties such as shareholders and creditors can seeking to revive the company for a period of up to 20 years following dissolution to allow a proper investigation into the company's trading history to be carried out. In addition, dissolution does not terminate a company's existing contractual arrangements and if the directors remain potentially liable should the company be restored to the register in the 20 years following dissolution.