Company Liquidation Services In Dubai
Liquidation of a company in the United Arab Emirates necessitates a competent approach and careful respect to official processes. Our specialist company liquidation services in Dubai make it simple for you to go.
Now that you’ve made the difficult choice to liquidate your business, it’s time to put your affairs in order and dissolve your business. Company liquidation services in Dubai is a time-consuming and difficult task that entails a lot of paperwork, starting the de-registration process, and negotiating with workers and other government agencies. To get off the hook, you’ll need to fill out application papers correctly and carefully deregister certifications from various government authorities.
In Dubai and Abu Dhabi, company liquidation services in Dubai necessitates a trained approach and rigorous adherence to statutory processes. Only a thorough study of the existing regulations will enable you to satisfy the legal criteria for liquidation. “Selim Corporate Services” has been offering highly specialized company liquidation services in Dubai to limited liability businesses, free zone firms, and offshore corporations for over a decade. We have gained the experience to provide hassle-free liquidation for our clients after numerous successful closures.
Our specialist services include identifying a solution and advising you on objectives such as costs, time, and dangers of engaging as a third-party liquidator to locate a quick-fix solution. Throughout the process, we will work with you and the government to come up with a simple and mutually acceptable exit strategy.
Types Of Liquidation In Dubai
There are two forms of corporate liquidation services in Dubai that a firm can choose from. These are the following:
- Voluntary Liquidation
In a voluntary liquidation, a company’s shareholders opt to close it down because they don’t have enough money to pay its creditors. When the proceeds from the assets are distributed in this sort of liquidation, the creditors are given first priority.
- Compulsory Liquidation
Compulsory liquidation services in Dubai is a form of business liquidation mandated by a court order. The assets of the firm are allocated depending on the priority of claims to creditors and donors.
Role Of Liquidator In Company Liquidation Services In Dubai
A liquidator is the person in charge of making decisions throughout the liquidation process. A liquidator is responsible for a variety of tasks. The following are some of the responsibilities of a liquidator:
- Getting the Winding-Up Process Started
The liquidator issues an acceptance letter when the Board of Directors/Shareholders pass a resolution for the liquidation or winding up of the company and the appointment of a liquidator. The method to be followed as well as the name of the liquidator will be listed in this acceptance letter.
- Publication of the Notice of Liquidation
When the liquidation process begins, the liquidator publishes the liquidation notice in two local newspapers, one in Arabic and one in English, to ensure that the news of the liquidation reaches the widest possible audience.
- Overview of Collection & Distribution of Company Assets
The liquidator may be in charge of the collection and distribution of corporate assets, as well as the settlement of liabilities, if necessary. The way in which assets will be distributed will be specified in the acceptance letter.
- Preparing the Statement of Affairs
The liquidator creates the statement of affairs and the liquidator’s report as the final step in the liquidation procedure. This document contains all of the information on the liquidation process.
Company Liquidation Process In Dubai
In order to preserve compliance, it is critical for a corporation to follow all of the stages associated with Company Liquidation.
Once it has been determined that the liquidation will begin, the company’s board of directors convenes a special meeting to discuss the liquidation procedure’s progression. At this stage, a liquidator is appointed, and any requests from the company’s creditors will be met.
First and foremost, the corporation must submit official paperwork proving that the decision to liquidate the business was made. The name of the appointed liquidator will also be included in this document. The original registration certificate, as well as the qualifications of the liquidator, must be submitted. Notarization is required for all of these papers. After completing the first phases of the liquidation, the company must also cancel any special licenses or licenses it may have secured in Dubai to engage in specific economic activities. Original paperwork from the parent firm will be required for branches in Dubai. Our Team Support .
Documents Required To Avail Company Liquidation Services In Dubai
Different types of documentation must be presented for the liquidation process, according to the Dubai government. Both in free zones and on the mainland, these documents are necessary for company liquidation services in Dubai. The following are the necessary documents:
- Duplicate of the license
- With any revisions, a copy of the Memorandum of Association (MOA).
- Power of Attorney (if any)
- Copies of all stockholders’ passports
- Copy of your Emirates identification
- Resolution of the shareholders
- De-registration application form
Frequently Asked Questions
The length of the liquidation time is determined by the licensing authority. It usually takes 45 days for mainland enterprises. It is 15/21 days in some free zones. Certain free zones, such as the Dubai Creative Clusters Authority, demand a 45-day notice.
Yes, the liquidation notice must be published in two newspapers (one in Arabic and the other in English).
It may take 60-90 days to dissolve a firm in Dubai, including the notice period.
To complete the liquidation procedure, a corporation must cancel all visas and obtain a clearance letter from the Immigration Department. End-of-service benefits and other legislative obligations, such as unpaid leave salary, flying ticket, unpaid salary, and so on, must be paid to employees.
If a corporation has already registered for VAT with the FTA, it must de-register during the liquidation process.