The process by which a Dubai LLC company (or its branch), sole establishment or free zone company closes its operation and therefore the assets and property of the corporate or institution is distributed to creditors and shareholders (owners) of the UAE registered company. It is also known as winding-up or dissolution.
Company liquidation in UAE requires a qualified approach with strict adherence to formal procedures. Only a complete understanding of the existing legislation can help you meet the liquidation requirements as mandated by the law of the land. The Business house has been providing highly specialized Liquidation Services in UAE, to limited liability companies, free zone companies and offshore companies across UAE. With many successful closures under our belt, we have acquired the expertise to guarantee hassle-free liquidation to our clients.
Our specialized services include determining a solution and advise you on objectives such as costs, time and risks to participating as one of the independent third party liquidators for finding a quick-fix solution. During the process we liaison between you and governmental authorities to find an easy and mutually acceptable exit strategy.
Reasons for liquidating a company in Dubai
- The company is insolvent and not in a position to meet its debts.
- A company serves no purpose in going forward
- Sometimes a group of companies may need restructuring or reorganization and it is appropriate that one or more companies need to be wind up.
- To end the continued stress from the creditors for seeking payment.
- Sometimes the Directors running the organization decide to cease operations.
- Legal problems, due to law related issues
Cancellation process involved
- Cancel all existing employees, if any
- Resolution of Director Board for dissolution and appointment of a liquidator and it has to be attested from Notary Public.
- Letter from the Liquidator along with their License Copy, Auditor registration certificate, Authorized signature certificate attested by Notary Public
- Payment of the fees at Department of Economic Development to issue company liquidation certificate
- Liquidation advertisement in two local Arabic newspapers for one day and wait for 45 days to check whether any client has financial claim against the company
- Present original newspaper Ad and final audit report of the company to the Department of Economic Development
- Confirmation of the Liquidator and Partners that there is no any objection/claim from the third party during the Ad period
- Cancel visa of partners, if any, and get clearance letter from Ministry of Labour and Immigration, DEWA, Etisalat
- Copy of Director Board resolution and copy of liquidation certificate
- Pay fees at Department of Economic Development
Our services will include the following:
- Preparation of legal documents
- Preparation of Company board resolutions
- Liquidators appointment acceptance
- DED application and submission
- News paper advertisement for Company liquidation notice
- Arrange clearance letter from DEWA
- Arrange clearance letter from Etisalat
- Arrange clearance letter from Municipality
- Arrange clearance letter from Custom
- Bank account closure and Bank No liability Certificate
- Audit for the financial statements for liquidation of company
- No Liability certificate
- Employees visa cancellation
- Labour card cancellation and clearance certificates
- Immigration card cancellation and clearance certificate
- Liquidation report preparation and submission
- Final cancellation letter
- Partner Visa Cancellation