Termination of Cayman Islands entities: key options and year-end timing

As the 2025 year-end approaches, clients looking to terminate entities and reduce or avoid 2026 obligations should act now.

In this briefing, Corinne Cellier, director of the Solvent Liquidations team at Ogier Global, outlines the main termination options and timing considerations, including additional requirements for Cayman Islands Monetary Authority (CIMA) registered funds.

Voluntary liquidation vs. strike-off

Voluntary liquidation

This route is recommended for entities that have engaged in trading activities or have contractual relationships with third parties, as it provides certainty regarding the finality of dissolution.

Timing: Once ready to appoint a voluntary liquidator, the process typically lasts around six weeks. Effective dissolution for a company occurs three months later, and for a partnership it occurs immediately.

Recommendation: To minimise 2026 fee obligations, Ogier Global recommends appointing a liquidator by 14 November 2025, assuming there are no remaining assets, liabilities or unresolved matters. 

Strike-off

This is a more cost-effective option for dormant entities with no trading history, investors or third party service providers. The key risk is that strike-offs are reversible for up to 10 years, potentially exposing directors to personal liability.

Timing: Applications are processed quarterly, with filing deadlines around eight weeks in advance.

Recommendation: For an effective strike-off date of 31 December 2025, submit applications by 20 October 2025. To minimise 2026 obligations, submit application by 31 December 2025.

CIMA Registered Funds

Funds must complete all regulatory matters, including: final audit and fund annual return (FAR) filings; final investor payments; and confirm good standing with CIMA, before submitting a deregistration application.

Timing: CIMA must approve the deregistration application before 31 December 2025 to avoid 2026 CIMA license fees.

Recommendation: Ogier Global recommends submitting deregistration applications by 31 October 2025 to allow sufficient time for CIMA approval before the deadline.

How can Ogier help?

Ogier Global offers expert support for voluntary liquidations, strike-off applications and CIMA deregistration. For tailored advice, reach out to your usual Ogier contact or to Corinne Cellier directly.

About Ogier

Ogier is a professional services firm with the knowledge and expertise to handle the most demanding and complex transactions and provide expert, efficient and cost-effective services to all our clients. We regularly win awards for the quality of our client service, our work and our people.

Disclaimer

This client briefing has been prepared for clients and professional associates of Ogier. The information and expressions of opinion which it contains are not intended to be a comprehensive study or to provide legal advice and should not be treated as a substitute for specific advice concerning individual situations.

Regulatory information can be found under Legal Notice