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Company Liquidation in Dubai, UAE
Company Liquidation Services in Dubai, UAE
Company liquidation, or winding up, in the United Arab Emirates signifies the formal cessation of a company’s operations and its ultimate dissolution. This process commonly referred to as closing or cancelling a company in the UAE. Contact IBR Group, one of the best Company Liquidation service provider in Dubai, UAE committed to guiding our clients through every step. At IBR Group, we specialize in offering comprehensive Business Consultation in Dubai, UAE, covering various types of entities in the region.
Types of Companies Covered
Our services encompass the liquidation of the following types of companies:
- Mainland Companies: Including Limited Liability Companies, Civil Companies, and Establishments.
- Free Zone Companies: Operating within any of the UAE’s free zones.
- Offshore Companies: Located across the UAE.
Steps and Procedures for Company Liquidation in Dubai, UAE
To ensure a smooth liquidation process, we follow a structured set of steps and procedures:
- Resolution for Dissolution: The first step involves preparing a resolution for the dissolution of the company.
- Appointment of Liquidator: Next, we appoint a qualified liquidator to oversee the liquidation proceedings.
- Acceptance Letter: We obtain an acceptance letter from the appointed liquidator.
- Notarization: The resolution then notarized by a public notary.
- Document Submission: All relevant documents are submitted to the appropriate authority to initiate the liquidation process.
6. Newspaper Advertisement: We publish a newspaper advertisement to announce the company’s liquidation.
7. Clearances: Various clearances are obtained, including immigration, labor, customs, and bank account closure certificates.
8. Government Authorities: Clearances are sought from government authorities such as RTA, Electricity & Water Authority, and the Telecommunication Authority, among others.
9. Final Liquidation Report: We compile a comprehensive final liquidation report along with all necessary clearances.
10. Cancellation Certificate: Upon completion of the process, the relevant authority issues the final cancellation certificate and removes the company’s trade name from the commercial register.
Additional Requirements for Foreign Shareholders
If shareholders not present in the UAE, the resolution or Power of Attorney must be notarized and attested by the UAE embassy in their respective country. It must also be legalized by the Ministry of Foreign Affairs and Ministry of Justice in the UAE. Notably, companies registered in most Free Zones are exempt from notary public attestation.
Documents Required to initiate Liquidation Process
To initiate the liquidation process, the following documents are required:
- License Copy
- Memorandum of Association Copy (including all changes)
- Power of Attorney (if applicable)
- Shareholders Resolution
- Shareholders’ Passport Copies
- Emirates ID Copies
- Deregistration Application Form
Notice Period for Liquidation
Once the initial documents submitted and the required payment is made to the Department of Economic Development, a primary liquidation certificate is issued. This certificate serves as documentary evidence that allows the company to proceed with the winding-up process.
Advertisement Notice
Following the acquisition of the primary liquidation certificate, the company can proceed with the publication of an advertisement in a newspaper. In some cases, such as Limited Liability Companies and certain Free Zone companies like Dubai Creative Cluster Authority, a 45-day notice period for liquidation advertisement in the public newspaper is mandated. For LLC companies, four advertisements are to be published in the Arabic language.
Actions During the Notice Period
During the notice period, several actions must be taken, including:
- Clearance from the Immigration Department
- Clearance from the Labor Department
- Clearance letters from Electricity and Water Departments
- Clearance letter from Telecom Authority (DU or Etisalat, etc.)
- Clearance letter from the Landlord
- Bank account closure letter
Final Steps for Liquidation
Once the notice period elapses, the following documents, in addition to the previously mentioned clearances, are submitted:
- Liquidation report
- Copy of the newspaper advertisement
Upon reviewing and approving these documents, the relevant authority requires the final payment. Subsequently, they issue the License Cancellation Certificate, signifying the completion of the company’s liquidation.
At IBR Group, we commit to guiding our clients through every step of the liquidation process in the UAE. Contact our team for an initial consultation on the most appropriate procedure for your company liquidation in Dubai, UAE. Our expertise and dedication ensure a streamlined and efficient process, minimizing hassle and ensuring compliance with all legal requirements.