Both pathways are for solvent companies — neither is an insolvency process — but they exist for genuinely different situations, and picking the wrong one wastes time and money.
Voluntary deregistration (Form 6010)
This is the simpler pathway, and the one this platform is built around. It's an administrative process for companies that are not trading, have no outstanding liabilities, have assets worth less than $1,000, aren't party to legal proceedings, and have all members' agreement. It doesn't require a liquidator — directors and members pass resolutions, lodge Form 6010, and ASIC handles the rest after the statutory notice period.
Members' Voluntary Liquidation (MVL)
An MVL is a formal process run by a registered liquidator, designed for solvent companies that have meaningful assets to distribute — more than the $1,000 threshold that voluntary deregistration allows. Directors make a declaration of solvency, a liquidator is appointed, assets are realised and distributed to shareholders in an orderly way, and the company is deregistered once the liquidation is complete. It costs more and takes longer than Form 6010, but it's the correct tool once real value is involved.
The practical dividing line
If, after settling debts, what's left in the company is genuinely under $1,000 — voluntary deregistration is almost always the right call. If there's a meaningful cash balance, property, or other assets still to distribute, an MVL is the properly designed pathway for that, not a workaround to force voluntary deregistration to fit. See our guide on clearing assets over $1,000 before deregistration for how to get under the threshold if that's realistic for your situation.
What doesn't change between the two
Neither pathway is available if the company is actually insolvent — can't pay its debts as and when they fall due. That's a different situation entirely, requiring a registered liquidator via a different (insolvency) process. Our solvency test can help you work out which situation you're actually in.
This is general information, not legal advice — talk to a registered liquidator if an MVL looks like the right fit for your situation.