Company Closing in UAE
Company Closing in the UAE has to be dealt with high importance to avoid any future hassles with company re-registration, residence visa processing, bank account opening and so on.
There are a lot of companies registered in the UAE incurring heavy fines due to not initiating the company closure procedure complying with the legal regulations of the UAE. The companies that have not followed the closing procedures the right way could face blacklisting and would face roadblocks when applying for a new business license in the future. Closing of a company in the UAE is a well-structured procedure that is best to be executed by partnering with an experienced Business Consultant.
Company Closing Procedure in the UAE
The Company Closing Procedures in the UAE depends on where the company is registered. The Company Closing procedure varies across the Free Zones and the Mainland of UAE. Aurion Business Consultants will work with you to liquidate your company in the UAE without any hassles. Our Company Liquidation Experts follow 100% legally compliant company closing procedures according to the respective business jurisdiction your company is registered.
Procedures of Closing down of an LLC Company in Dubai
Following are some of the major steps involved in company liquidation or closing down procedures for LLC companies in the UAE.
1. Appointment of Consultant / Liquidators
A company must appoint a legally authorized Company Liquidator to carry out the company closing procedures in Dubai. Aurion work with you for closing your company in the most hassle-free way.
2. Board Resolution for Liquidation
A Board Resolution for Liquidation has to be prepared, signed & attested by the board of directors of the company.
3. Clearance from Ministry of Labour & Immigration
The company must obtain a clearance certificate from the ministry of labor & immigration prior to the final submission of the supporting documents.
4. Bank Closure Letters
The company must close and obtain Bank Account Closure letters from all associated banks.
5. Financial Liability Clearance
All financial liabilities have to be settled by the company such as creditor payments, clients, partners, suppliers, employee settlement, etc.
6. Newspaper Advertisement
The company liquidator has to publish in the local UAE newspaper about the company liquidation and get a No Objection from all the stakeholders.
7. Non-Liability Certificate & License Cancellation Certificate
The auditors have to conduct a financial audit and provide the Non-Liability Certificate. Now the company must approach the concerned authority (Free Zone, Department of Economic Department) where the company is registered to obtain the License Cancellation Certificate.
Documents Required
Company closing in UAE procedure is a well-defined set of steps and it involves a lot of supporting documents, report preparation, and clearances that are to be obtained along the process. Once all the documents are submitted and reviewed by the authorities, the License Cancellation Certificate will be issued to the company by the concerned authority.
Documents Required initially for Liquidation of Company in UAE
The liquidation of a company requires certain documents to be submitted. Following are the important documents required for the liquidation of a company in the UAE.
- Business License Copy
- Memorandum of Association
- Power of Attorney (if any)
- Shareholders Resolution
- Shareholders Passport Copy
- Emirates ID Copy
- De-registration Application Form
Documents Required to Obtain the Final License Cancellation Certificate
- All the above documents
- Company Liquidation Audit report
- Newspaper copy of Company Closing Advertisement
Clearance to be Received from the Concerned Government Authorities
- Immigration Department
- Labour Department
- Electricity and Water Departments
- Telecom Authority ( DU or Etisalat)
- NOC letter from Landlord
- Bank Account Closure letter
LLC Company Closing in Dubai generally takes around 60-65 days of which 45 days is the Notice Period after the publication of Company Closing in the UAE local News Papers to receive No Objection from third parties. Meanwhile, all other documentation and clearances are to be obtained. The next stage is the Audit report preparation by the company. Legal firms and the Registered Auditing Agency can prepare the Audit report that is to be submitted to the concerned authorities for review.
Once the notice period is over and all documents are in place, along with the Audit report (Company Liquidation Report) and copy of the newspaper has to be submitted to the authority for review. Upon approval and payment of the license cancellation fees, the authority will issue the final Licence Cancellation Certificate.
Company Closing in the UAE Free Zones
Company closing procedures in the Freezones vary and depend on the concerned free zone authorities where the company is registered. In the Free Zones, there is no requirement of appointing a company liquidator for initiating the company closing procedures. The company can directly approach the Free Zone Authority or any business consultants to complete the process the right way.
- For closing a Freezone company the employee visas and the work permit has to be canceled.
- Employees are to be offered a 2 month paid notice period before terminating their contracts.
- Then the company has to cancel all the utilities and telecommunication services. Collect the NOCs and proceed with the company closure application.
Aurion is the registered agent of all major free zones in UAE. We provide specialized company closure services in the free zone of the UAE. Our expert business consultants will assist you in the end-to-end company closing process in the UAE and ensure you have a 100% legally compliant and the most comfortable company closure.
Talk to our company liquidation experts to know more!
How Aurion will help you?
Aurion will help you with the whole company liquidation process starting from company liquidation documentation, obtaining clearances, audit report preparation to obtaining the license cancellation certificate, all at a cost-effective company closing package. Experience a hassle-free company closing in the UAE with Aurion Business Consultants. Interested to know more about the company closing in the UAE, Company liquidation in SAIF Zone, Mainland company closing or other free zone company closing talk to our Company Liquidation Experts right away!
