What Is a Certificate of Dissolution?

To break any type of legal union, you must officially declare it with some type of notification. In the business world, you need a certificate of dissolution to dissolve a business entity.

In every state, you must file Articles of Organization to form a limited liability company or a corporation. Most states dissolve these articles through a certificate of dissolution or similarly named document, such as Articles of Dissolution.

Some states require that the corporation notify its creditors and hold a vote with the shareholders to dissolve the corporation before filing the certificate of dissolution--called a two-step state. One-step states allow corporations to either file before notifying pertinent parties or after notification, according to Small Business Notes.

Most states refer to divorce as a dissolution of marriage and issue a certificate of dissolution.