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Liquidation of Companies in UAE Free Zones

In the UAE Free Zone, company liquidation is a defined process that entrepreneurs must follow in the case of a company’s closure. Certain procedures must be followed for a smooth company liquidation in the United Arab Emirates.

Corporation liquidation is the process by which a company or firm ceases all operations, liquidates all of the company’s assets and properties, and distributes any outstanding payments to creditors and shareholders.

It’s also known as the de-registration of a business. Alya Auditors will assist with the completion of the company liquidation process in all UAE free zones.

To close a business or organization in the UAE, the following requirements must be met. While requirements may differ from one free zone to the next, most of them will be the same.

Free Zone Company Liquidation in Dubai – Requirements

Company Liquidation in Dubai follows a specific procedure depending on the business jurisdiction. The Dubai Free Zone company liquidation procedure comprises a series of processes that the entrepreneur must follow to ensure a smooth company liquidation in the UAE.

  • The company must not have any liabilities
  • All existing active visas must be canceled
  • All existing corporate Bank Accounts must be closed
  • Any assets at the time of liquidation must be transferred to the shareholders or a third party
  • All fees concerning the free zone authority must be cleared
  • Immigration clearance must be obtained from Free Zone Authority
  • The company must prepare a resolution to liquidate and appoint a licensed liquidator to carry out the procedure
  • The liquidator must approve the order of action of the company’s liquidation and send confirmation that the company has no assets or obligations/liabilities by preparing a final Audit Report/Liquidation Letter.

Required Clearances

  • Clearance certificate from relevant free zone authority
  • Clearance certificate from business unit
  • Clearance certificate from all utilities
  • Clearance certificate from any related authorities as per the regulated activity
  • Clearance for customs

Company Liquidation in Dubai

Company liquidation in Dubai is a simple procedure of winding up a business owing to financial difficulties, unexpected events, insufficient cash to continue operations, and so on.

Expert Business Consultants in Dubai can aid entrepreneurs with company liquidation. It will assist in lowering the process’ complexity, as well as making investors feel more at ease and secure in carrying out the company liquidation procedure in Dubai.

As registered company liquidators in the UAE, Alya Auditors will assist entrepreneurs in liquidating their businesses in any of the UAE’s Free Trade Zones or on the mainland.

Our staff will assist the entrepreneur with the appropriate set of company liquidation procedures and guarantee that the company closing is 100 percent in compliance with UAE Company Law standards, depending on the business jurisdiction.

To avoid future penalties or entry bans, entrepreneurs must close their businesses as soon as possible while adhering to the legal requirements of UAE Free Zone countries.

Steps for company liquidation in DMCC

1. Complete the required fields and upload the first set of requirements for company termination on the DMCC Portal. Click Submit

2. Cancel all active visas, PIC, and TAC through DMCC Portal (Skip if all are canceled)

3. Upload 2nd set of requirements for company termination on DMCC Portal 

4. Submit all original requirements to DMCC

5. License Termination will be published by DMCC for 14 days

6. Upload a copy of the liquidator report on the SR and submit the original to DMCC

7. De-registration will be published by DMCC for 14 days

8. De-registration and License Termination Letters will be issued to clients. Original to be collected from DMCC

For more information contact Alya Auditors.

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